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1 year ago

Explain five reasons that may cause a company to redeem its own shares

1 answer:

4 0

- Companies buyback shares for a variety of reasons, including firm consolidation, increased equity value, and to appear more financially appealing.

-The disadvantage of buybacks is that they are frequently financed with debt, putting a burden on cash flow.

-Stock repurchases can have a modestly favorable impact on the economy as a whole.

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Sue Bee Honey is one of the largest processors of its product for the retail market. Assume that one of its plants has annual fi

NNADVOKAT [17]

Answer:

$75 per case

Explanation:

Required: Selling Price per case

Sales – Variable cost – Fixed cost = Target desired profit

Sales = 800000 case x Selling Price (SP)

Variable cost = (800000 case x $40) + (800000 x SP x 25%)

Putting into equation:

Sales – Variable cost – Fixed cost = Target desired profit

(800000 x SP) – [(800000 x 40) + (800000 x SP x 25%)] - $8000000 = $ 5000000

>800000SP – (32000000 + 200000SP) – 8000000 = 5000000

>800000SP – 32000000 – 200000SP – 8000000 = 5000000

>800000SP – 200000SP = 5000000 + 8000000 + 32000000

>600000SP = 45000000

>SP = 45000000 / 600000

>SP = $ 75

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3 years ago

Read 2 more answers

Which type of break can you insert if you want to force text to begin on the next page?

pav-90 [236]

Insert a page break.

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3 years ago

One of the main responsibilities employers have under OSHA is to: A. Conduct energy audits B. Notify OSHA of any workplace injur

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<span>OSHA is responsible to help employers provide training that is required under OSHA's standards. The employers responsibilities include providing a workplace that is free from hazards and complies with the standards set by OSHA/</span>

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2 years ago

The output of u. S. Citizens who work in canada would be included in the

mestny [16]

The output of u. S. Citizens who work in Canada would be included in the: D. Gross domestic product.

<h3>What is gross domestic product?</h3>

Gross domestic product can be defined as the value of goods or products produce within a country at a particular period of time.

If a united State of American citizen work in Canada the output of the United State citizen will be added to the Gross domestic product of Canada.

Therefore the correct option is D.

Learn more about gross domestic product here:brainly.com/question/1383956

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1 year ago

The only variable input a janitorial service firm uses to clean offices is workers who are paid a wage, w, of $88 an hour. Eac

slamgirl [31]

Answer:

Answer : Average Marginal Cost, Marginal Cost = $2

The total cost per hour of the janitorial service firm = $32

Explanation:

The janitorial firm only uses labour as an input to clean offices and there are no fixed costs. This implies that the total cost is only the variable cost.

Each worker can clean 4 offices in an hour, therefore the output of each labour is 4units per office cleaned. The price/wages paid to each worker isb $8 per hour.

The total cost per hour of the janitorial service firm is $8x4 = $32 (wxq)

Now to clean one more office, the time required will be 15minuites, because each worker can clean 4 offices in an hour. To clean one more office , each worker will be paid $2($8/4)

The variable cost/total cost, average variable cost and the marginal cost of cleaning one more office will be

Variable cost =w.q = 2q

Average Variable Cost = VC/q = 2q/q = $2

sine the marginal cost also varies directly as the average marginal cost , the Marginal Cost is $2

3 0

3 years ago

Explain five reasons that may cause a company to redeem its own shares ​

Explain five reasons that may cause a company to redeem its own shares