Liquidity and Efficiency refers to the availability of resources to meet short-term cash requirements. Analysis is aimed at a company's funding requirements.
The time period performance may be described because the potential to achieve an give up goal with little to no waste, effort, or energy. Being efficient approach, you could acquire your effects through placing the resources you have within the first-rate way possible. placed surely, some thing is efficient if not anything is wasted and all processes are optimized. efficiency can often be expressed as a percentage of the result that could ideally be expected, as an instance if no energy have been lost due to friction or different causes, wherein case 100% of fuel or other enter might be used to produce the preferred result.
The paintings performance formulation is performance = output / enter, and you may multiply the result via a hundred to get work efficiency as a percent. that is used throughout different strategies of measuring electricity and paintings, whether it is electricity production or gadget efficiency.
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which of the following statements is true of normal spoilage? question 30 options: it is a spoilage which is not inherent in a particular production process. it arises even when the process is carried out in an efficient manner. it occurs due to machine breakdowns and operator errors. it is usually regarded as avoidable and controllable.
Normal spoilage is inherent to a production process. In other words, it arises even when the production is carried out in the most efficient way. Typically these normal spoilage costs are included in the cost of goods sold.
Normal spoiling is the term used to describe how items naturally degrade while going through the production or inventory stages of the sales cycle. This is the product line degradation that is typically seen as inevitable and expected.
Even when the process is run efficiently, abnormal spoiling can still happen, but normal spoilage is avoided when the process is run efficiently. Normal spoiling is exactly that—normal—and is expected during routine commercial or industrial activities, particularly for businesses that produce or handle perishable goods.
Abnormal spoiling is defined as spoilage that goes beyond what is customary or anticipated historically.
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the sras curve has a positive slope since the quantity of aggregate output supplied in the short run as the aggregate price level .
Positive slope because as the price level rises in the short term, so does the amount of total output supplied. The fundamental source of the SRAS curve's increasing slope is the fact that enterprises find it more profitable to produce when wages are set rather than variable in the near term.
What is SRAS curve?
The SRAS (Short-Run Aggregate Supply Curve) curve demonstrates that the amount of real GDP that will be generated in an economy grows as the price level rises and you move along the SRAS. A shift to the right indicates an increase in the SRAS.
Because the quantity supplied rises when the price rises, the aggregate supply curve in the short run has an upward slope. Businesses only have one fixed factor of production in the short term (usually capital ). The output and real GDP increase at a given price as the curve moves outward.
The aggregate supply curve slopes downward because financial institutions will raise interest rates when inflation rises to keep it under control.
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this is the most common third-party intervention, and negotiators surrender control over the process while maintaining control over outcomes. is the meaning of _____
This is the most common third-party intervention, and negotiators surrender control over the process while maintaining control over outcomes. is the meaning of Meditation.
What is the name of the procedure that involves using a third party to listen, talk, and make an effort to assist the disagreeing parties in coming to a resolution?When two parties work together to discuss and try to resolve a legal issue, it is referred to as mediation. A mediator is a third party who is impartial in the situation. The goal of voluntary mediation is to come to a consensus.
An unbiased third person helps opposing parties resolve dispute via the use of specialized communication and negotiation strategies in mediation, which is a structured, interactive process.
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Installations are major capital investments in the B2B markets and they are often designed specifically for the purchasers.True
A category of commercial product known as installation entails significant financial commitments for brand-new factories, specially designed software, large machinery, and equipment.
Which of these definitions applies to company marketing? B2B or B2C marketing in industrial business?Buying and selling products or services to be consumed by the purchasing organization, utilised in the manufacture of additional products or services, or to be sold to wholesalers and retailers for resale.
What tactic aims to boost sales of currently available products in currently available markets?Market-Penetration Plan. Using existing products in existing markets, a corporation can increase its market share by implementing a market penetration plan.
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Suppose the company desires to make a profit of shs. 195,000, what should be the output in units?
Suppose the company desires to make a profit of shs. 195,000, what should be the output in units is given as 27444.44 units
How to solve for the sales outputThe calculation of the break even point
66 - (44 + 4)
= 18
The break even sales unit
200000 + 90000 / 18
= $16611
Break even sale in amount = 16611 x 66
= 1096326 dollars
b. The sales output in units299000 + 195000 / 18
= 27444.44
The sales output in units is 27444.44
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Net sales of Thomas Company is $180,600, cost of goods sold is $144,400, selling expenses are $15,200, general expenses are $22,600, and interest expense is $1,500. Which of the following is the net income (loss) of Thomas Company?
A. $36,200
B. $(3,100)
C. $3,100
D. $(1,600)
E. $13,600
Answer: B. $(3,100)
The following is the net income of Thomas Company -$3100.
Solution:
Particulars Amount
Net sales 180600
Cost of goods sold 144400
Selling expense 15200
General expense 22600
Interest expense 1500
Net income/Loss -3100.
Net income also known as net income is calculated as revenue minus cost of goods sold selling general and administrative expenses operating expenses depreciation interest taxes and other expenses. A number that helps investors determine how well an organization's revenues exceed its costs. This number appears on the company's income statement and is also an indicator of the company's profitability.
An operating loss occurs when a company's operating expenses exceed its total profit. Operating loss does not include interest income, interest expense, extraordinary gains or losses, or the impact of gains or losses on equity investments or taxes. These items are below the line meaning they are added or subtracted after the operating loss.
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Jane Smith lives at home with her parents at 5678 Main Street in Anytown, Missouri, but she has just put in an application for an apartment. After closing out her credit account with the Checkout store chain, she has only one credit card, from North Valley Credit Union. She currently makes installment payments to Tri-State Bank on her car.
You can review Jane’s credit report here.
Jane might want to check the “Current Balance” column on her credit report to make sure
.
The account chart lists debt-to-credit ratio, which is the percentage of the credit limit currently owed. What would a debt-to-credit ratio near 100% mean?
Why should Jane look carefully at the “Delinquent” column?
A creditor would be interested in the public records information because it can show whether Jane
Answer:
the amount she owes is correct
that a credit is about to be used up, or maxed out
because it indicates late payments
has had trouble paying debts
Explanation:
if the electric utility is forced to charge a price that leads to economic losses, it would go out of business, and consumers would have no electricity. to avoid this, the government has several possible solutions at its disposal. assuming the government still wanted to maintain some protection for consumers, which of the following is not a possible solution?
A. The government could own and operate the electric utility.
B. The government could allow the electric utility to operate as an unregulated firm.
C. The government could subsidize the losses the utility would earn if it (the utility) charged $7.
D. The government could set the regulated price equal to average cost so that the firm breaks even.
The following is not a possible solution is :
The electric utility could be owned and run by the government.
What is meant by economic losses ?Any monetary loss caused by harm is referred to as a "economic loss," which includes missed income or other employment-related benefits, medical bill losses, losses from replacing services, losses from fatalities, etc., burial costs, and lost business or employment opportunities), to the extent that compensation for such losses is possible.
The difference between a product's sales earnings and the costs of all inputs used, as well as any opportunity costs, is what is known as an economic profit or loss. Realized revenues are deducted from opportunity costs and explicit costs to determine economic profit.
The cost of market inefficiency, which happens when supply and demand are out of balance, is known as a deadweight loss.
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A contingency plan for systems critical to a large organization would be ______ than that for a small business.
A contingency plan for structures vital to a huge enterprise could be larger than that for a small enterprise.
The required details about contingency plan is mentioned in below paragraph.
Contingency plans is described as a route of movement designed to assist an enterprise reply to an occasion which could or might not happen. Contingency plans also can be cited as 'Plan B' due to the fact it is able to paintings as an opportunity movement if matters do not cross as plannedA contingency plan is a route of movement designed to assist an enterprise reply successfully to a enormous futureincident, occasion or state of affairs which could or might not happen.
A contingency plan is occasionally cited as "Plan B" or a backup plan due to the fact it is able to additionally be used as an opportunity movement if predicted consequences fail to materialize. Contingency plans is a part of enterprise continuity (BC), catastrophe restoration (DR) and hazard management. Contingency plans and generation DR plan improvement are intently associated concepts. The National Institute of Standards and Technology (NIST) preferred for IT catastrophe restoration making plans includes contingency in its title.
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A physical count of merchandise inventory on November 30 reveals that there are 90 units on hand. Assume a periodic inventory system is used. Assuming that the specific identification method is used and that ending inventory consists of 20 units from each of the three purchases and 30 units from the November 1 inventory, cost of goods sold is
$1769
51779
$1791
$1737
Using the specific identification inventory method, the cost of goods sold for Concord Shutters on November 30 is $1,779 (B).
Specific identification inventory method is an inventory tracking system that individually track an inventory from the time it enters the inventory until the time it leaves. Specific identification inventory method allows a company to identify, mark, and track each item of its inventory.
Frorm the case, we know that:
Batch Units Price per unit Inv. value End Inv. End Inv. Value
11/01 Inventory 30 $7.00 $210 30 $210
11/08 Purchase 110 $8.30 $913 20 $166
11/17 Purchase 70 $8.60 $602 20 $172
11/25 Purchase 90 $8.60 $774 20 $172
Total $2,499 $720
To find cost of goods sold, we could use formulation:
COGS = Total inventory values - Ending inventory values
COGS = $2,499 - $720
COGS = $1,779
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Complete Question:
Concord Shutters has the following inventory information,
Nov. 1 Inventory 30 units, each $7.00
8 Purchasse 100 units, each $8.30
17 Purchase 70 units, each $8.60
25 Purchase 90 units, each $8.60
A physical count of merchandise inventory on November 30 reveals that there are 90 units on hand. Assume a periodic inventory system is used. Assuming that the specific identification method is used and that ending inventory consists of 20 units from each of the three purchases and 30 units from the November 1 inventory, cost of goods sold is
a. $1769
b. $1779
c. $1791
d. $1737
Jorge earns $20 per hour. He works 40 hours per week and takes 2 weeks of paid vacation each year. How much does Jorge
earn per year, assuming that he does not receive overtime pay?
An hourly wage of $20 equates to a yearly salary of $41,600 for someone working 40 hours per week for 52 weeks per year, or $40,000 if you take 2 weeks of unpaid leave (50 weeks per year). These figures are pre-tax, don't take into account for overtime or sick pay and assume you work the same number of hours every week.
The earnings of Jorge per year will be $41600 which includes 52 weeks will be $41600.
What is the arithmetic operator?Arithmetic operators are four basic mathematical operations in which summation, subtraction, division, and multiplication involve.,
As per the given,
Per hour earning = $20
Number of work hours in one week = 40
Total earning per week = 40 x 20 = $800
Number of weeks in one year = 52
Per year earning = 52 x $800 = $41600
Hence "Jorge will make $41600 year or $41600 over the course of 52 weeks".
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________ specialize in handling all aspects of customers giving back a manufactured good or delivered service and requesting their money back, repairing the manufactured good and giving it to the customer, and/or invoking the service guarantee.
a. Process designers
b. Demand forecasters
c. Certified suppliers
d. Return facilitators
Answer: d. Return facilitators
Return facilitators is required answer i.e. option d. As they specialize in handling all aspects of customer giving back a manufactured good.
A facilitator is a person who assists a group of people in improving their ability to cooperate, comprehend their shared goals, and devise strategies for achieving these goals, during meetings or conversations.
You need to be objective and concentrate on the "group process" if you want to facilitate effectively. Specifically, how teams collaborate to complete tasks, reach decisions, and address issues. Being objective and guiding the group so that its thoughts and solutions flow are key components of effective facilitation.
In a business, return facilitators are responsible for making it easier for customers to return their purchases. His responsibility is to manage all accounts and make sure that customers are paid back for returned goods.
As an illustration, Amazon needs return facilitators to handle return orders.
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ABC Manufacturers conducts commercial transactions across national boundaries. ABC Manufacturers would be classified as a(n) [blank]. O large business O franchise international business foreign licensed company
ABC Manufacturers conducts commercial transactions across national boundaries. ABC Manufacturers would be classified as an international business.
The trade of commodities, services, technology, capital, and/or information across national borders and on a global or transnational scale is referred to as an international business. Cross-border exchanges of products and services between two or more nations are involved. The practice of law in the international business world is known as international business law. It focuses on a variety of subjects, such as licensing, tariffs, taxes, international business operations, and law and economics. There are regional differences in international business law.
The International Businesses Standards Organization (IBSO) is a globally autonomous non-profit organization that develops, advances, and upholds ethical standards for participants in the global economy as a whole.
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T/F if you experience presentation anxiety beginning the evening before you are scheduled to speak, you should spend the entire evening practicing the presentation.
True. if you experience presentation anxiety beginning the evening before you are scheduled to speak, you should spend the entire evening practicing the presentation.
What is a presentation?
An audience receives information from a speaker through a presentation. The typical purpose of a presentation is to enlighten, convince, inspire, motivate, build goodwill, or offer a new idea or product. Presentations can also include speeches, introductions, lectures, or demonstrations.
Preparation, planning, organizing, writing, the use of visual aids, stress management, and question-answering are typically necessary for presentations. "The presenter, audience, message, response, and means to give speech for organizational achievement in an effective manner" are the fundamental components of a presentation.
In tertiary professional contexts, presentations are frequently utilized by accountants to provide a thorough analysis of a company's financials or by entrepreneurs to pitch their venture idea to investors.
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Investment income includes gross income from interest, annuities, and royalties not derived in the ordinary course of a trade or business but does not include any income taken into account when calculating income or loss from a passive activity.
true
"Investment income includes gross income from interest, annuities, and royalties not derived in the ordinary course of a trade or business but does not include any income taken into account when calculating income or loss from a passive activity". The following statement is true.
What is investment?⇒ Investments are financial commitments made to acquire assets in the hopes that their value would rise over time. Investment necessitates the loss of a current resource, such as time, money, or effort.
In the world of finance, investing is done in order to profit from the asset being put to use. A gain (profit) or loss realized from the sale of a home or investment, unrealized capital gain (or loss), investment income like dividends, interest, or rental income, or a combination of capital gain and income may all be included in the return. The return may also include foreign exchange gains or losses as a result of shifting exchange rates.
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You work as an assistant coach on the university basketball team and earn $13 per hour. One day, you decide to skip the hour-long practice and go to the county fair instead, which has an admission fee of $9.
The total cost (valued in dollars) of skipping practice and going to the fair (including the opportunity cost of time) is___?
The total cost (valued in dollars) of skipping practice and going to the fair (including the opportunity cost of time) is $22.
What is an opportunity cost?
According to microeconomic theory, an activity's opportunity cost is the value or gain that is forfeited in exchange for engaging in that activity as opposed to engaging in an alternative activity. Simply put, it means you forfeit the chance to engage in a different activity if you choose one activity (for instance, an investment). The activity that yields the highest return among all others, net of opportunity costs, is the one that is considered to be the ideal activity. You cannot rent out a car, for instance, if you buy it and use it just for personal transportation. However, if you rent it out, you are not allowed to use it for personal transportation. The best option is to drive yourself if the expense of using public transportation exceeds the benefit of hiring a car. Opportunity cost may be expressed in the following way: "Opportunity Cost = (returns on best Forgone Option) - (returns on Chosen Option" The opportunity cost of mowing one's own lawn for a doctor or a lawyer (who might otherwise make $100 an hour if they chose to work overtime during that time instead) would be higher than for a minimum-wage employee (who in the US might earn $7.25 an hour), making the former more likely to hire someone else to mow their lawn for them.
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You work as an assistant coach on the university basketball team and earn $13 per hour. One day, you decide to skip the hour-long practice and go to the county fair instead, which has an admission fee of $9.
The total cost (valued in dollars) of skipping practice and going to the fair (including the opportunity cost of time) is___?
Record the sale by Balus Company of $131,000 in accounts receivable on May 1. Balus is charged a 3.00% factoring fee.
On May 1, note the sale of $131,000 in receivables by the Balus Company. A factoring fee of 3.00% is assessed to Balus as a debit to cash, a debit to factor fee expense, and a credit to accounts receivable.
Define Debit to cash.The amount of cash on hand increases after debiting a cash account. However, if you debit an accounts payable account, the amount of the accounts payable liability decreases.
The factoring fee, which is also referred to as the discount rate, varies from 1% to 5%, depending on the size of the invoice, the volume of sales, the creditworthiness of the client, and whether the factor is "recourse" or "nonrecourse."
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Flu shots provide a positive externality. Suppose that the market for vaccinations is perfectly competitive. Without government intervention in the vaccination market, which of the following statements is correct? a. At the current output level, the marginal social benefit exceeds the marginal private benefit. b. The current output level is inefficiently low c. A per-shot subsidy could turn an inefficient situation into an cfficient onc d. All of the above are correct.
Flu shots provide a positive externality. Suppose that the market for vaccinations is perfectly competitive. Without government intervention in the vaccination market, All of the above are correct.
What do you mean by vaccination ?
A vaccination is a sort of medication that prepares the immune system of the body to combat a disease it has never encountered before. Instead of treating a disease once it has been contracted, vaccines are intended to prevent it. The administration of a vaccine aids in the immune system's development of disease immunity. A microbe or virus in a weakened, living, or deceased state, as well as proteins or toxins from the organism, are all components of vaccines. They aid in preventing illness from an infectious disease by boosting the body's adaptive immunity. Herd immunity occurs when a sufficient proportion of a population has received a vaccination.
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A chain of coffee shops has gained a large market share in a big city because customers feel its coffee tastes better than its competitors' coffee.
Number of firms?
a) one
b) few
c) many
Type of product?
a) unique
b) identical
c) differentiated
d) anything
Entry?
a) Easy
b) Challenging
c) Impossible
Market model?
a) monopoly
b) monopolistic competition
c) perfect competition
d) oligopoly
One kind of imperfect competition is monopolistic competition. In the same way that there is perfect competition, many businesses have low entry barriers. However, businesses offer differentiated substitutes that differ in some ways.
There will be a lot of businesses because there is a chain of coffee shops. Customers prefer a single chain's coffee, indicating differentiated offerings. Because there are few barriers to entry, the market model favors monopolistic competition.
Examples of monopolistic competition are provided.Monopolistic competition is a type of market structure in which numerous businesses produce products that are comparable but distinct. Each company operates independently and without regard for the actions of other businesses, so none of them hold a monopoly.
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Effective oligopolistic collusion is more likely to occur when customer orders are small, frequent, and received on a regular basis as compared with large orders that are received infrequently at irregular intervals.
a. true
b. false
It is true that effective oligopolistic collusion is more likely to occur when customer orders are small, frequent, and received regularly as compared to large orders received infrequently at irregular intervals
What is collusion about?It is about any agreement that restricts the competitive fight between companies. The maximum form of collusion, the one that maximizes the benefits of the oligopolists is the cartel, an agreement between all the producers of the industry that can take two forms, Competition without prices.
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A channel member (producer, wholesaler, or retailer) who coordinates, directs, and supports other channel members is referred to as a ____
A channel member (producer, wholesaler, or retailer) who coordinates, directs and supports other channel members is referred to as a channel captain.
channel captain
In British, a channel captain is a marketing term. the most prominent member of a distribution channel, and frequently the one who decides specifications (which usually consists of a manufacturer, wholesaler, and retailer). The manufacturer is sometimes the channel captain, but in the case of a chain store, it could be the retailer. The manufacturer is sometimes the channel captain, however in the event of a chain shop, it might be the retailer. The Collins English Dictionary HarperCollins Publishers, Inc. These samples were chosen at random and may contain sensitive topics.
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A multinational enterprise would likely be motivated to pursue a global-standardization strategy in order to __ (Check all that apply).
-maintain maximum efficient scale
-differentiate more
-take advantage of economies of scale
-take advantage of location economies
-be locally responsive
A multinational enterprise, abbreviated as MNE and every now and then additionally referred to as multinational organization (MNC), just multinational or worldwide corporation, is an organization producing items or turning in offerings in extra than one country
Why multinational employer is important?MNEs are believed to promote increase and employment via growing new jobs, comprehend new investments, bring in new technologies, and permit host economies to integrate and upgrade in global value chains (GVCs).
Examples of multinational companies consist of Apple, Amazon, Microsoft, McDonald's, and Volkswagen. These agencies are headquartered in one country but operate divisions in many different international locations in order to expand their enterprise and attain more customers.
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Answer:
In a general sense, I believe that the customer environment is the most important of the three major environments in a situation analysis. The customer environment consists of all the factors that impact the relationship between a business and its customers, including the needs and preferences of the customers, the quality and availability of the products or services offered by the business, and the competition from other businesses.
I think that the customer environment is the most important because it ultimately drives the success or failure of a business. If a business is unable to meet the needs and preferences of its customers, it will not be able to attract and retain a sufficient number of customers, and therefore will not be able to generate the revenue and profit needed to survive and thrive. On the other hand, if a business is able to understand and respond to the customer environment, it can create a positive and rewarding experience for its customers, which can lead to loyalty, word-of-mouth advertising, and long-term success.
There may be situations in which the other environments are more important than the customer environment. For example, if a business is facing significant internal challenges, such as a lack of funding, poor management, or low morale among employees, these issues may need to be addressed before the business can focus on the customer environment. Similarly, if a business is operating in an external environment that is undergoing rapid and significant changes, such as a shift in consumer preferences, new regulations, or disruptive technologies, the business may need to adapt quickly in order to remain competitive and relevant. In these cases, the internal and external environments may be more important than the customer environment in the short term, but ultimately the success of the business will depend on its ability to respond effectively to the customer environment.
Investors can form risky portfolios out of more than 2 risky assets. Which of the following statements is correct?
A. Out of all feasible risky portfolios, an efficient portfolio should have the lowest volatility.
B. Out of all feasible risky portfolios, the minimum variance portfolio should have the lowest volatility.
C. Out of all feasible risky portfolios, an efficient portfolio should have the highest expected return.
D. It is efficient to invest 100% in the risky asset with the highest expected return and highest volatility.
Investors can form risky portfolios out of more than 2 risky assets. The statements that are correct are:
1. Out of all feasible risky portfolios, the minimum variance portfolio should have the lowest volatility.
2. All investors, regardless of risk aversion levels, will choose optimal complete portfolios on the same capital allocation line.
3. Investors’ risk aversion levels do not affect their optimal portfolio decisions.
An investor is someone who allocates financial capital with the expectancy of a future return (profit) or to benefit from a bonus (interest). via this allocated capital maximum of the time, the investor purchases a few species of belongings.
As a leading investor, you are not a proprietor. in case you purchase equity in an employer, you have got made ownership funding. The return you earn might be your proportional proportion of the commercial enterprise's earnings. The preliminary funding quantity will stay tied up in the employer's general price.
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allowances provided for managers assigned to foreign countries often include . (select all that apply)
A housing allowance. an education allowance for the manager's children. relocation allowances to reimburse for the cost of moving.
What do you mean by allowances?
Important parameters including the quantity of the commodity being purchased, the buyer's price, and the date and place for delivery are pre-agreed upon by the buyer and seller when engaging into futures contracts. However, the allowances that specify the acceptable levels of quality and quantity that the seller must give in order to have honoured their agreement are another crucial provision in these contracts. Without these exceptions, there would be much more potential for dispute between purchasers and sellers about whether the contract's conditions were truly met.
Importantly, neither the buyer nor the seller may bargain for allowances in futures contracts. They are instead created by the people who run the commodities exchanges.
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________ is an international market research company based in Paris, France, and is the only major international market research firm that is controlled and operated by market researchers.
Nielsen
Kantar
NPD Group
Ipsos
Ipsos
Ipsos is an international market research company based in Paris, France, and is the only major international market research firm that is controlled and operated by market researchers.
What precisely is a market?In a market, buyers and sellers can come together to exchange goods and services. Markets can be digital, like an online merchant, or physical, like a store. The auction market, the black market, and the financial market are more examples.
What industry DO?A market's primary objective is to gather products from various sources and distribute them to various outlets. Dealers serve as a channel for a seller's product's demand, but from the perspective of the buyer, they expand supply options.
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Which of the following is a debt security whose payments originate from other loans, such as credit card debt, auto loans, and home equity loans?
A. asset-backed securities
B. credit quality securities
C. debentures
D. junk bonds
Answer: a
Asset-backed securities are debt security whose payments originate from other loans, such as credit card debt, auto loans, and home equity loans.
A financial investment known as asset-backed security (ABS) is one that is secured by a pool of underlying assets, typically those that produce a cash flow from debt such as loans, leases, credit card balances, or receivables. It takes the shape of a bond or note and provides income at a fixed rate till maturity over a predetermined period of time. Asset-backed securities can provide an alternative to traditional debt products, such as corporate bonds or bond funds, for income-focused investors.
Asset-backed securities give their issuers the ability to raise money for lending or other types of investments. An ABS's underlying assets are frequently illiquid and cannot be sold separately.
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The product line manager's $60,000 salary is avoidable as is the $20,000 of advertising. Of the administrative expenses, $10,000 is avoidable. The rest are general allocated expenses that will not change if the product is dropped. The rent expense is allocated to product lines based on sales and represents a share of the total cost for the building. If this product line is dropped, what will happen to the company's overall net income?
There will be a $34,000 drop in overall net income. The $124,000 contribution margin will be forfeited by the business. Only $90,000 of a fixed costs (salary, advertising, and administrative expenses) are avoidable, resulting in a $34,000 decrease in net income.
The contribution margin is what?The total amount of revenue left over after overhead expenses to pay for fixed costs and turn a profit for the business is shown by the contribution margin, according to Knight. This could be viewed as the component of sales which helps to cover fixed expenses.
Contribution margin: Is it profitable?While contribution margin is indeed the amount of revenue left over after deducting variable costs from revenue, gross margin is the profit that remains after the cost of goods marketed from revenue.
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compute the contribution margin ratio and fixed costs using the following data. sales $ 5,400 variable costs $ 3,024 income $ 440
From given data of sales, variable costs and income we get,
Contribution margin ratio = 44%Fixed cost = $1,936What is contribution margin ratio?The difference between a company's sales and variable costs, represented as a percentage, is the contribution margin ratio.
The total income that can be used to cover fixed costs and turn a profit is represented by an entity's total margin. The ratio, when applied to a single unit sale, expresses the percentage of profit made on that particular sale.
The basis for break-even analysis, which is employed in the overall cost and sales price planning for items, is the contribution margin. A product's selling price range, the expected level of profit from sales, and the structure of sales commissions paid to sales team members, distributors, or commission agents can all be determined using the contribution margin. It also assists in separating out the fixed cost and profit components resulting from product sales.
Given: Sales = $ 5,400, Variable costs $ 3,024, income $ 440
Contribution margin ratio = (Contribution margin/sales) × 100
= $2,376/$5,400 × 100
= 44%
Fixed cost = Contribution - Net income
= $2,376 - $440
= $1,936
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jimmy owns several dry cleaners. he makes a profit every year and pays his people well, but it is also important to him that he give back to the community. jimmy donates free dry cleaning to people in temporary and transient housing and he uses environmentally safe materials to clean the clothes. jimmy is most demonstrating
The right answer is Option A. Mike is most demonstrating as a community stakeholder because he is running his business more business-minded and does not give back to the community. Therefore, he has a stake (Loan) in the community over his head.
According to the definition of the term "stakeholder" in a 1963 internal Stanford Research Institute paper, a stakeholder in a corporation is a member of "groups without whose support the organization would cease to exist."
A community is a social unit (a collection of living beings) that shares factors like geography, traditions, beliefs, values, or identity. Communities situated in a certain location may have a sense of place.
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