All categories

3 years ago

How do you calculate the profit on a product?:

Business

1 answer:

Neko [114]3 years ago

4 0

Answer:

The gross profit on a product is computed as follows:

Sales - Cost of Goods Sold = Gross Profit.

Gross Profit / Sales = Gross Profit Margin.

(Selling Price - Cost to Produce) / Cost to Produce = Markup Percentage.

Explanation:

You might be interested in

For each of the statements below, use the dropdown box to select the response that completes the sentence correctly. Knowledge C

morpeh [17]

Answer:

a. is equal to

b. is greater than

c. less than

Explanation:

The difference between variable costing and absorption costing methods is that the overheads are treated differently. While absorption costing method does not differentiate the fixed manufacturing overheads from the variable manufacturing costs, the variable costing method only accounts for the variable elements of all costs, whether manufacturing cost or not.

7 0

3 years ago

The normal selling price per unit of a product is $480, and its total cost per unit is $375. Using the total cost concept, calcu

Arisa [49]

Answer:

The markup per unit is $105

Explanation:

The computation of the markup per unit is shown below:

Markup per unit is

= Normal selling price per unit - total cost per unit

= $480 - $375

= $105

We simply deduct the normal selling price per unit from the total cost per unit so the markup per unit could come

Hence, the markup per unit is $105 and the same is to be considered

5 0

3 years ago

assume that your publicly traded company attempts to be completely transparent about its financial condition, and provides thoro

snow_tiger [21]

Answer:

A company's stock price is defined by the demand the market has over it, by the analyst researching it and their forecast of growth, as well as the performance of the company at generating income.

Explanation:

The P/E ratio or price over earnings ratio is the ratio that explains the price of a stock. We take the price of the stock and then divide it by the earnings per share obtained by quarter and then by year when the fiscal year is over. It is influenced by the demand of the stock in the markets, by the projection analyst may have after researching the company and by the income, the company generates. Today there is an overvaluation of the stocks in all the markets. However by following the advice of W. Buffett and Peter Lynch, as well as Soros we can find undervalued stocks.

8 0

3 years ago

Which of the following is a correct explanation for why the aggregate demand curve slopes downward? A. As the price level decre

Tems11 [23]

Answer:

C. As the price level decreasesdecreases, the real value of cash balances increasesincreases, and total expenditures riserise.

Explanation:

The aggregate demand curve is a curve that shows all the output demanded at different price levels in an economy.

The aggregate demand curve in downward sloping. This is according to the law of demand which says, the higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded.

Therefore, when prices fall, the real value of cash balances increases, total expenditures rises and quantity demanded rises.

When prices fall, export increases and net export rises.

I hope my answer helps you

5 0

3 years ago

Like many college students, Bernadette applied for and got a credit card that has an annual percentage rate (APR) of 15%. The fi

Dovator [93]

Answer:

It would take Bernadette approximately <u>33 months</u> to completely pay off the stereo system.

Explanation:

Since it is assumed that Bernadette makes her payment when she sees her statement at the end of each month, we use the formula for calculating the present value (PV) of an ordinary annuity to determine the number of months as follows:

PV = M * ((1 - (1 / (1 + r))^n) / r) …………………………………. (1)

Where;

PV = Present value of the new stereo system = $400

M = minimum monthly payment = $15

r = monthly interest rate = 15% / 12 = 0.15 / 12 = 0.0125

n = number of months = n

Substitute the values into equation (1) and solve for n as follows:

400 = 15 * ((1 - (1 / (1 + 0.0125))^n) / 0.0125)

400 / 15 = (1 - (1 / 1.0125)^n) / 0.0125

26.6666666666667 * 0.0125 = 1 - (1 / 1.0125)^n

0.333333333333334 = 1 - 0.987654320987654^n

0.987654320987654^n = 1 - 0.333333333333334

0.987654320987654^n = 0.666666666666666

Loglinearizing both sides, we have:

n * log0.987654320987654 = log0.666666666666666

n * (-0.00539503188670629) = -0.176091259055682

n = -0.176091259055682 / -0.00539503188670629

n = 32.64, or 33 approximately.

Therefore, it would take Bernadette approximately <u>33 months</u> to completely pay off the stereo system.

6 0

4 years ago

How do you calculate the profit on a product?:​

How do you calculate the profit on a product?: