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2 years ago

The sales level at which a company neither earns a profit nor incurs a loss is called the: _________

Business

1 answer:

xz_007 [3.2K]2 years ago

6 0

The sales level at which a company neither earns a profit nor incurs a loss is called the Break-even point.

<h3>What is the Break-even point?</h3>

Break-even is known to be a point or a situation where a firm is said to neither is making money nor they are losing money.

At this point, all the costs are said to have been covered. Break-even analysis is known to be very vital in studying the linkage between the variable cost, fixed cost and revenue. At this point, a firm is neither earns a profit nor incurs a loss.

Learn more about Break-even point from

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The following information was available from the inventory records of Sunland Company for January: Units Unit Cost Total Cost Ba

luda_lava [24]

Answer:

Cost of Ending Inventory $ 47,077.74

Units on Hand 31 Jan = 4,600

Weighted Average Cost= $ 10.24per unit

Explanation:

We divide the total cost with the total number of units to get the weighted average cost per unit.

Sunland Company

Units Unit Cost Total Cost

Balance at January 1 9000 $9.70 $87300

Purchases: January 6 6000 10.35 62100

<u>January 26 8300 10.73 89059 </u>

<u>Total Units</u> 23,300 238,459

Sales January 7 (7400 )

January 31 (11300 )

Units on Hand 31 Jan = 4,600

Weighted Average Cost= Total Cost/ Total Units = 238,459/ 23,300 =

$ 10.235≅ $ 10.24

Cost of Ending Inventory = 4,600*$ 10.24= $ 47,077.74

8 0

3 years ago

A company begins operations in Year 1 and offers a one-year warranty on all products sold. Total appliance sales in Year 1 are $

Aleks04 [339]

Answer: See explanation

Explanation:

Based on the information given in the question, the balance in Warranty Liability at the end of Year 1 and Year 2 will be calculated thus:

Balance in Warranty Liability at the end of Year 1 will be:

= $1,600,000 × 2%

= $1,600,000 × 0.02

= $32,000

Balance in Warranty Liability at the end of Year 2 will be:

= $2,400,000 × 1.5%

= $2,400,000 × 0.015

= $36,000

6 0

3 years ago

Which of these outcomes become more likely for someone with strong personal finance skills? Check all that apply.

expeople1 [14]

There were no choices.

However, to give some points on people with strong finance skills can manage a financial standing.

They would probably know when to spend or not depending on the cash, savings or earnings that they have. They can have estimations whether they are financially capable of every purchase. One other thing is they know the difference between a want and a need so they are focused on the needs which are priorities.

6 0

3 years ago

g Builtrite has calculated the average cash flow to be $16,000 with a standard deviation of $4000. What is the probability of a

Ganezh [65]

Answer:

89.44%

Explanation:

As we know that:

Z = (Cash Flow - Mean) / Standard Deviation

Here

Cash flow is the observed value which is the lower limit here and is $11,000

Mean is the average value of the sample and is $16,000

Standard Deviation is $4,000

By putting values, we have:

Z = ($11,000 - $16,000) / $4,000

= -1.25

The Z value lower than -1.25 is 0.1056 or 10.56%

This means that the probability of cash flow lower than $11,000 is 10.56% and the probability of cash flow greater than $11,000 will be

Probability of cash flow = (1- 0.1056) = 0.8944 which is 89.44%

6 0

3 years ago

If you were advising which actions a company should take to perform value chain activities more cost effectively, you would not

Shalnov [3]

Answer: redesign its products to eliminate those features that might have market appeal, but would excessively increase production costs.

Explanation:

The main aim of every organization are typically cost minimization and profit maximization. If I wanted to advise a company on the kind of actions to take to perform value chain activities more cost effectively, I'll tell them to improve their supply chain efficiency as well as use economies of scale and effective utilization of its resources.

Therefore, redesigning its products to eliminate those features that might have market appeal, but would excessively increase production costs is wrong as this will only lead to increase in cost.

4 0

3 years ago