It is the federal loans given to students by the federal government. This loans are made directly for the students whereby interests are fixed over time.
Answer:
Net operating income= $97,600
Explanation:
Giving the following information:
Contribution margin= 80,000
Fixed expenses= 62,400
First, we need to calculate the unitary contribution margin:
Unitary contribution margin= 80,000/5,000= $16 per unit
Now, we can calculate the net income for 10,000 units
Total contribution margin= 10,000*16= 160,000
Fixed expense= (62,400)
Net operating income= 97,600
A decision-making process that managers use to determine how to invest the company’s funds in major capital assets is capital budgeting.
<h3>What is capital budgeting?</h3>
It should be noted that capital budgeting simply means the process undertaken by a business to evaluate investments.
In this case, the decision-making process that managers use to determine how to invest the company’s funds in major capital assets is capital budgeting.
Learn more about capital budgeting on:
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For his first year of business, Bob’s accounting profit was $5,000 (5,000 = 80,000-67,000-4%*200,000), and his economic loss was $35,000 (-35,000 = 5,000 - 40,000) based on the information shown on the question above. The accounting profit is a recorded profit based on every business transaction occurring in a one-year period. The economic profit (loss) is a difference between a revenue and its opportunity cost.