Answer:
a decrease of $39,000.
an increase of $39,000.
a decrease of $19,500.
an increase of $19,500.
The correct option is the last one,an increase of $19,500
Explanation:
The impact on net operating income when the department is eliminated in Fabio Corporation is the company would lose the contribution margin of $39,000 and avoidable fixed cost,hence overall effect of the elimination is the difference between the contribution margin lost and the avoidable fixed costs which is computed thus:
Lost contribution margin $39000
Unavoidable fixed cost $19,500
Total fixed costs
avoidable fixed cost=$78,000-$19,500=$58,500
decrease in overall net operating income=$58,500-$39,000=$19,500
Ok this is for me this might not be the same for you. I use Bank of America and when I opened mine I needed to make a minimum deposit of $25. Again this was for me I dont know if this is the same for everyone or every bank.
Have a nice day user!
Answer:
Elastic demand
Explanation:
The price elasticity of demand is described as the sensitivity of demand to changes in its price. A product is price elastic when a small change in prices causes a significant change in quantity demanded. If a small change in price results in minimal impact in quantity demanded, the product is price inelastic.
Steel mill raised its prices by 7 percent. As a result, the demand declined by 20 percent. The demand decreased by a bigger rate than the change in price. It means a small change in price causes the demand to change significantly. Therefore, the demand curve is price elastic.
Answer:
b. $1750
Explanation:
Provided that
Sale of the company = $87,500
Credit terms = 2% if payment is received within 10 days and the prescribed time limit is 30 days
The amount of the sales discount would be
= Sale of the company × discount percentage
= $87,500 × 2%
= $1,750
We simply multiplied the sale of the company with the discount percentage so that the sales discount could come