If you withdraw money from a CD before its maturity date, you will face a financial penalty. True False

When sales increase by 9%, which of the following should also increase by 9% in a merchandising company?(A) Variable cost(B) Fix

cupoosta [38]

Answer:

(A) Variable cost

(C) Gross margin

D) Contribution margin

Explanation:

mathematically:

Gross Margin = Sales – cost of goods sold

for constant cost of good sold, an increase in sales alternately increases the gross margin.

and

Contribution Margin = Sales – Variable costs

as sales increase, the variable cost has to increase so as well the contribution margin has to increase.

5 0

4 years ago

Aisletton, an electronic gadgets manufacturer, organizes its workforce into various departments based on the service the departm

patriot [66]

Answer: Product departmentalization

Explanation: In simple words, product departmentalization refers to a process in which an organisation puts all the activities related to a project under a single manager. All the activities relating to that product will be performed in that separate department.

In the given case. the organisation is dividing all their products in separate departments. Hence we can conclude that they most likely follows product departmentalization.

8 0

4 years ago

Over the course of 2018, the first year of operations, Medical Supplies, Inc. had the following income transactions: Sales R

LekaFEV [45]

Answer:

Ending RE at year-end: 494,000

Explanation:

As this is the first-year of operation there is no beginning Retained Earnings.

Sales Revenue of 4,340,000

Cost of Goods Sold (1,936,000)

Wage Expense (876,000)

Insurance Expense (324,000)

Administrative Expense (414,000)

Utilities Expense (192,000)

Selling Expense <u> (42,000) </u>

Net Income 556,000

Dividends paid: (62,000)

Ending RE 494,000

4 0

3 years ago

g A speculator buys a call option for $3, with an exercise price of $50. The stock is currently priced at $49, and rises to $55

azamat

Answer:

$53

Explanation:

Call option is $3

Exercise price is $50

The stock is currently priced at $49

It rises to $55 on the expiration date

Therefore the cost price at which the speculator will break even can be calculated as follows

= ($50-$3)+($55-$49)

= $47 + $6

= $53

8 0

3 years ago

Read the following descriptions and identify the type of risk or term being described:

vagabundo [1.1K]

Answer:

Foreign exchange risk

Explanation:

These are the risks that an international financial transaction could accrue because of fluctuations in the currency.

A standard measure of the risk per unit of return and this type of risk relates to fluctuations in exchange rates.

Therefore, according to the following descriptions, the type of risk or term being described is Foreign exchange risk.

7 0

3 years ago