Answer:
Q= TFC/(SP-VC)
Break Even Point in Units = 1116.67 ≅1117
Explanation:
Dilts Company
Sales price $630,
Variable costs per unit $380,
Contribution Margin 300
Fixed costs $335,000
The Mathematical Equation
Q= No of units
Total Revenue= TR
Total Cost = TC
Total Fixed Costs= TFC
Variable Costs= VC
Sales Price = SP
Total Revenue= TR= Price Per unit * No Of units = SP * Q
Total Cost = TC = Total Fixed Costs + Variable Costs ( Number of Units)=
TC= TFC + VC*Q
Now according to break even the total revenue must equal the the total costs
TR= TC
SP*Q= TFC + VC*Q
On re arranging the above equation
SP*Q- VC*Q= TFC
Q(SP-VC)= TFC
Q= TFC/(SP-VC)
Number of Units=Total Fixed Costs/Sales Price- Variable Costs
b) Break Even Point in units = Fixed Costs/ Contribution Margin per unit
Break Even Point in units = Fixed Costs/ (Sales- Variable cost)
Break Even Point in Units = $335,000/ 300= 1116.67 ≅1117
Where can I watch jersey shore for free
Pls don’t say Y o uTu b e, soap2day, or ps4. If you know any apps that would be great,thanks!
Answer: mtv, sling, cbs, fubo, amazon, and a few others
Explanation: hope it helps and thx for the free points
Sandra’s Purse Boutique has the following transactions related to its top-selling Gucci purse for the month of October. Sandra's Purse Boutique uses a periodic inventory system.
Date Transactions Units Unit Cost Total Cost
October 1 Beginning inventory 6 $ 790 $ 4,740
October 4 Sale 4
October 10 Purchase 5 800 4,000
October 13 Sale 3
October 20 Purchase 4 810 3,240
October 28 Sale 7
October 30 Purchase 8 820 6,560
$ 18,540
3. Using LIFO, calculate ending inventory and cost of goods sold at October 31
The cost of goods sold (COGS) was $17,260, and the ending inventory was $3,160 using the LIFO method.
The LIFO method (last-in, first-out) of inventory valuation requires that the most recent purchases of inventory be used first in the cost of products sold and ending inventory calculations. The ending inventory and cost of products sold at the end of October will be calculated using the LIFO method, based on the data given in the table.Based on the data given, the total units sold is 14, and the total units purchased is 17. Here's how to calculate the ending inventory and cost of products sold using the LIFO method:Step 1: The last purchase of 8 units at a cost of $820 each on October 30 is deducted from the inventory count, leaving 9 units.Step 2: The previous purchase of 4 units at a cost of $810 each on October 20 is deducted from the inventory count, leaving 5 units.Step 3: The next purchase of 5 units at a cost of $800 each on October 10 is deducted from the inventory count, leaving 0 units.Step 4: Based on the LIFO method, the cost of the ending inventory is the sum of the cost of the oldest units remaining in stock, which is 4 units at a cost of $790 each on October 1, totaling $3,160.Step 5: Based on the LIFO method, the cost of goods sold (COGS) is calculated by adding the total cost of units sold, which is 14 units at a cost of $820 each on October 30, 4 units at a cost of $810 each on October 20, and 5 units at a cost of $800 each on October 10, totaling $17,260.Therefore, the cost of goods sold (COGS) was $17,260, and the ending inventory was $3,160 using the LIFO method.For more questions on cost of goods sold (COGS)
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The company ABC, L.C. manufactures some products with an average sales price of € 25/unit, with fixed annual costs of € 110,000. The average unit variable costs are € 5.
a) At what volume of production will the threshold of profitability be reached?
b) Assuming that annual sales are estimated at 20,000 units, being the distribution evenly over a year, on what date will the break-even point be reached?
c) What would be the sales value or turnover corresponding to the threshold of profitability?
a. The threshold of profitability is the break-even point which is the level of production at which the total revenue equals the total costs which in this case is 5,500 units.
What is breakeven point?Break-even point is a business term that refers to the point at which a company's revenue from sales equals its total expenses, resulting in zero profit or loss. At the break-even point, the company is not making a profit, but it is also not incurring a loss.
It can also be used to analyze the profitability of different pricing strategies and help with decision-making on investments, expansion plans, and other financial decisions.
In the above case of company ABC, the break-even point is 5,500 units.
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The positions of art director and editor are both supervisory ones.
True
False
That is False because a editor edits things.
which of the following factors make debt more attractive to bond investors
Answer:
The main characteristics of a debt bond that make it attractive to investors are the following:
-On the one hand, the interest rate that said bond offers must be high enough so that the investor, after paying taxes and even bearing certain cuts in a possible negotiation, obtains an economic benefit as a result of their investment.
-On the other hand, the risk of default or partial payment of said debt must be low. That is, the issuer of the debt must be a trustworthy subject that guarantees the payment of the debt contracted, since otherwise the investor will not bet on his debt at the time of making the investment.
I am better at my job than most of the other people who have the same job title agree or disagree
Disagreed. You cannot say that you are better at your job than others who have the same job title.
How to answer questionnaire questions?While providing the answer to a questionnaire, it is very important that a person would try to be as truthful as possible.
The reason they have to be truthful is so that they would be able to give the best answer that would be useful for the research.
In a question like this, I used disagreed because it is not possible that you have met all of the persons that have the same job description as you do.
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Tim receives and reviews the results from his 360-degree feedback survey, which includes a few critical comments. How should Tim proceed?
By approaching the feedback with an open mind, self-reflection, and a proactive mindset, Tim can leverage the critical comments to enhance his personal and professional growth.
Acknowledge and accept the feedback: Tim should recognize that feedback, even if critical, is valuable for personal and professional growth. He should remain open-minded and receptive to the comments provided.
Reflect and self-assess: Tim should take time to reflect on the feedback and consider how it aligns with his own self-assessment. He can evaluate his strengths and areas for improvement based on the feedback received.
Seek clarification: If there are any comments that Tim finds unclear or wants further information about, he can reach out to the individuals who provided the feedback for clarification. This can help him gain a better understanding of the specific areas that need attention.
Develop an action plan: Tim should develop a plan to address the areas for improvement identified in the feedback. He can set specific goals and outline actionable steps to work on those areas, seeking support or resources as needed.
Seek guidance or coaching: Tim can consider seeking guidance from a mentor or coach who can provide additional insights and help him navigate the feedback. A coach can assist him in developing strategies for personal and professional development.
Monitor progress and reassess: Tim should regularly review his progress, track improvements, and reassess his performance based on the feedback received. This will allow him to continuously refine his skills and make positive changes over time.
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You decide to attend college next fall. List 3 or more opportunity costs and 3 or more opportunity benefits of ading college next fall.
Answer:
Explanation:
Opportunity Costs for going to college
1. Cost of college tuition
2. Loss of income for getting a job right away instead of going to college
3. Time spend at college could be used of something else such as a hobby
Benefits for going to College
1. Getting a job with a higher salary
2. More job opportunities being available (i.e. jobs that require you be attending college or already have college degree)
3. Life experience you may gain attending college (such as mentoring from professors, joining clubs, etc.)
Last year Ann Arbor Corp had $250,000 of assets (which equals total invested capital), $305,000 of sales, $20,000 of net income, and a debt-to-total-capital ratio of 37.5%. The new CFO believes that a new computer program will enable the company to reduce costs and thus raise net income to $33,000. The firm finances using only debt and common equity. Assets, total invested capital, sales, and the debt to capital ratio would not be affected. By how much would the cost reduction improve the ROE
Answer:
8.32%
Explanation:
The computation of cost reduction improve the ROE is shown below:-
For computing the increase in ROE first we need to follow some steps which is here below:-
Debt = capital × Debt
= $250,000 × 37.5%
= $93,750
Equity = Assets - Debt
= $250,000 - $93,750
= $156,250
New ROE = New Net income ÷ Equity
= $33,000 ÷ $156,250
= 21.12%
Old ROE = Old Net income ÷ Equity
= $20,000 ÷ $156,250
= 12.8%
Increase in ROE = New ROE- Old ROE
= 21.12% - 12.8%
= 8.32%
Trade-off Theory. Smoke and Mirrors currently has EBIT of $25,000 and is all-equity financed. EBIT is expected to stay at this level indefinitely. The firm pays corporate taxes equal to 35 percent of taxable income. The discount rate for the firm"s projects is 10 percent.
a. What is the market value of the firm?
b. Now assume the firm issues $50,000 of debt paying interest of 6 percent per year and uses the proceeds to retire equity. The debt is expected to be permanent. What will happen to the total value of the firm (debt plus equity)?
Answer:
A. $162,500
B. $17,500
Explanation:
Data
EBIT = $25,000
Tax rate = T = 35%
Discount Rate = r = 10%
Requirement A: Market Value
The Market value of the firm can be calculated by using the following formula
Market Value = \(\frac{EBIT(1-T)}{r}\)
Market Value = \(\frac{25000(1-0.35)}{0.1}\)
Market Value = $162,500
Requirement B: Total value of firm If issues $50,000 of debt paying 6% interest
The market value of the firm increases by the present value of the Interest tax shield
The present value of tax shield = Amount of debt x Tax Rate
The present value of tax shield = $50,000 x 35%
The present value of tax shield = $17,500
The market value of the firm will be increased by $17,500
Would it be wise for a young company that is growing quickly but still hasn’t achieved profitability to attempt to issue bonds as a way to expand its working capital?
Answer:
It would not be wise for the young company to attempt to issue a bond as a way of expanding its capital. This is because, the company still has to be able to find a balance between its expenditure and income before it can think towards expansion. If this is not met, they might run into series of financial debts while trying to expand.
Explanation:
what is value laden exchange?
Answer:
A value exchange is a description of a transaction which can include, but may not necessarily be, financial in nature. Examples of a value exchange between a brand and a customer can include: The trading of money for goods or services (a straightforward financial transaction)
Explanation:
• Explain the importance of leadership to a team.
Answer:
Team leaders are essential to executing your vision for your business and in setting the tone for your staff. Effective team leaders can also remove some of the managerial burden from your shoulders, freeing you to concentrate on developing ways to help your business grow and prosper.
Answer:
A excellent leader has the ability to bring out ones best abilities in his or her team members and encourages them to work collectively in achieving a shared objective.
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Deep discount bonds reflect questionable quality. True False
Answer:
I think "False" but I'm not sure.
Explanation:
I'm sorry if it's wrong.
In a recent city meeting, it was agreed that the city was going to build a new town hall. Long-term bonds, intergovernmental transfers, and public donations will be used to construct and maintain the building. The major discussion was how to record the donations meant to fund ongoing maintenance costs. One group wants to set up a permanent fund for the principle of the investments and use a special revenue fund to account for the earnings of the investments and their use. The other group wants to use a private purpose trust fund for the principle and interest.
Long-term bonds and also other things are also the main things that have been accustomed to the long-term pattern of money and also everything.
What is the Long term bonds?Two main advantages of longer-term bonds are diversification from stocks and (ii) consistent returns. These traders do not require the benefit of diversification that longer bonds provide because of the little equities exposure in this sort of portfolio.
A longer-term bond entails a larger risk of falling in price due to higher interest rates overall as well as a greater chance that rising inflation could lower the value of payments. For the majority of long-term investors, bonds with maturities between one and ten years are sufficient.
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If anyone knows about businesses can you help me please
Answer:
I believe it is team standard
Explanation:
One way a group of people can become an effective team is to create team standards. These are essentially the rules that govern how the team works and behaves. To be effective, the team standards need to be set and agreed to by the team members and not dictated to them by a boss or manager.
Which of the following is considered the more industrial form of fishing?
A: Grouping
B: Netting
C: Gathering
Answer:
B
Explanation:
I hear netting a lot when people talk about fishing. I don't hear the other two when talking about fishing.
The stock style box classifies individual stocks by growth, value, and core.
The stock mutual fund style box classifies individual stocks by value, growth,
and blend. These are often referred to as the equity style box. Together, the
vertical and horizontal axes can be used to classify a mutual fund into 1 of _______categories.
Together, the vertical and horizontal axes can be used to classify a mutual fund into 1 of nine categories.
The stock style box classifies individual stocks by growth, value, and core. The stock mutual fund style box classifies individual stocks by value, growth, and blend. These are often referred to as the equity style box. Together, the vertical and horizontal axes can be used to classify a mutual fund into one of nine categories.
The nine categories are large growth, large blend, large value, mid-cap growth, mid-cap blend, mid-cap value, small growth, small blend, and small value. It is common for investors to use the style box to classify mutual funds, which provides a useful way to understand the risk and return characteristics of an investment.The style box is divided into three parts, the vertical axis, the horizontal axis, and the grid that is formed by these two axes.
The vertical axis represents a market capitalization scale and can be divided into three categories: large-cap, mid-cap, and small-cap. The horizontal axis represents a value versus growth scale and can also be divided into three categories: value, blend, and growth.
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Grace Food Company Contribution Income Statement for the Month of October Corn Flakes Frosted Flakes Total Amount Percent Amount Percent Amount Percent Sales $ 2,000,000 100 % $ 500,000 100 % $ 2,500,000 100 % Variable expenses 800,000 40 % 250,000 50 % 1,050,000 42 % Contribution margin $ 1,200,000 60 % $ 250,000 50 % 1,450,000 58 % Fixed expenses 870,000 Net operating income $ 580,000 Knowledge Check 01 What is the amount of the break-even sales for Grace Food Company
Answer:
$1.5 million.
Explanation:
Calculation of the amount of the break-even sales for Grace Food Company:
Sales mix calculation will be:
Corn Flakes = $2,000,000/$2,500,000
= 0.80,
Frosted Flakes = $500,000/$2,500,000
= 0.20.
Calculation for the Contribution margin ratio will be:
(60%) × (0.80) + (50%) × (0.20) = 58�lculation for the Break-even point will be:
Break even point= Total Fixed Costs/Overall Contribution margin ratio
Hence,
$870,000/0.58= $1.5 million.
Therefore amount of break even sales will be $1.5 million.
Wally's Walleyes wants to introduce a new product that has a start-up cost of $7,800. The product has a 2-year life and will provide cash flows of $4,500 in Year 1 and $4,300 in Year 2. The required rate of return is 15 percent. Should the product be introduced? Why or why not?
The calculated NPV is negative, indicating that the present value of expected cash flows does not exceed the start-up cost of the project. In other words, the project is expected to generate a net loss.
To determine whether Wally's Walleyes should introduce the new product, we can calculate the net present value (NPV) of the project. The NPV measures the present value of expected cash flows, taking into account the required rate of return.
To calculate the NPV, we need to discount the cash flows using the required rate of return (15 percent). The formula for calculating NPV is:
NPV = Cash Flow Year 1 / (1 + Required Rate of Return)^1 + Cash Flow Year 2 / (1 + Required Rate of Return)^2 - Start-up Cost
\(NPV = $4,500 / (1 + 0.15)^1 + $4,300 / (1 + 0.15)^2 - $7,800\)
\(NPV = $4,500 / 1.15 + $4,300 / (1.15)^2 - $7,800\)
NPV = $3,913.04 + $3,537.41 - $7,800
NPV = -$350.55
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interventions strategies to reduce restrictions or barriers on limited access to capital
There are several intervention strategies that can be implemented to reduce restrictions or barriers on limited access to capital. One approach is to create more accessible financial products and services that are tailored to the needs of low-income individuals and small businesses.
This can include microfinance loans, crowdfunding platforms, and community-based financial institutions that offer low-cost loans and other financial products. Another strategy is to increase financial literacy and education among marginalized communities, providing them with the knowledge and skills necessary to access and manage capital effectively. This can involve partnering with local organizations and nonprofits to offer financial education programs, workshops, and counseling services.
Governments and policymakers can also play a role in reducing barriers to capital access by implementing policies and regulations that support and encourage entrepreneurship, innovation, and economic growth. This can include tax incentives for small businesses, streamlined regulatory processes, and targeted investment in underserved communities.
Finally, collaboration and partnerships between private sector organizations, governments, and civil society can help to address systemic barriers to capital access and promote inclusive economic growth. By working together, these stakeholders can create a more supportive ecosystem for entrepreneurship and investment, ultimately improving access to capital for those who need it most.
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External hiring reduces organizational diversity.
Answer:
The statement is not true.
Explanation:
External hiring does not reduce organizational diversity, it actually does the opposite: it increases organizational diversity.
External allows managers to include in their working teams new mebers who bring different knowledge and experience to the organization. In fact, one of the main motivations for managers to engage in external hiring is precisely increasing the variety of viewpoints inside the firm.
QUESTION 82
Lucent Technologies is considering a project that has the following cash flow and WACC data.
a) Determine the project's NPV.
b) Decide whether IRR or MIRR is appropriate for this problem. Explain which of these you chose and determine the value.
c) Given your solutions for a & b, advise management to accept or reject the project by making the appropriate comparisons.
7.45%
WACC:
Year
Cash flows
0
-$32,600 $15,000 $17,000
$13,000
-$4,000
a) the NPV of the project is $3,573.36. b) the MIRR of the project is 5.94%.
c) the positive NPV of $3,573.36 and the MIRR of 5.94%, it is advisable for the management to accept the project.
a) To calculate the NPV of the project, we need to discount the future cash flows to their present value using the weighted average cost of capital (WACC) of 7.45%.
Year 0 cash flow: -$32,600
Year 1 cash flow: $\(15,000 / (1 + 0.0745)^1\) = $13,947.74
Year 2 cash flow: $\(17,000 / (1 + 0.0745)^2\) = $14,377.64
Year 3 cash flow: $\(13,000 / (1 + 0.0745)^3\) = $10,748.23
Year 4 cash flow: -$\(4,000 / (1 + 0.0745)^4\) = -$2,900.25
NPV = -$32,600 + $13,947.74 + $14,377.64 + $10,748.23 - $2,900.25 = $3,573.36
Therefore, the NPV of the project is $3,573.36.
b) The IRR (Internal Rate of Return) and MIRR (Modified Internal Rate of Return) are both methods used to evaluate the attractiveness of an investment opportunity. The IRR is the discount rate that makes the NPV of the project equal to zero, while the MIRR is the discount rate that equates the present value of cash inflows to the future value of cash outflows.
In this case, since the project has non-conventional cash flows (negative initial cash flow followed by positive cash flows and then a negative cash flow), the IRR approach may lead to multiple IRR values, making it unreliable. Therefore, MIRR is more appropriate for this problem.
To calculate MIRR, we need to find the future value of the initial outflow, and the present value of all future inflows, then find the discount rate that equates these values.
Future value of the initial outflow: -$ = -$41,670.92
Present value of future inflows: $15,000 + $17,000 + $13,000 - $4,000 = $41,000
MIRR = [(41,000 / 41,670.92)^(1/4)] - 1 = 5.94%
Therefore, the MIRR of the project is 5.94%.
c) Based on the positive NPV of $3,573.36 and the MIRR of 5.94%, it is advisable for the management to accept the project. The positive NPV indicates that the project's inflows exceed the outflows, generating value for the company, while the MIRR of 5.94% is higher than the cost of capital of 7.45%, indicating that the project is expected to provide returns that are higher than the required rate of return.
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You own a portfolio that is 31 percent invested in Stock X, 46 percent in Stock Y, and 23 percent in Stock Z. The expected returns on these three stocks are 11 percent, 14 percent, and 16 percent, respectively. What is the expected return on the portfolio?
Answer: 13.53%
Explanation:
The expected return on the portfolio will be calculated by multiplying the investment in each stock by the expected return of the stocks. This will be:
= (31% × 11%) + (46% × 14%) + (23% ×16%)
= 3.41% + 6.44% + 3.68%
= 13.53%
Dakota Coffee Company produces Columbian coffee in batches of 7,500 pounds. The standard quantity of materials required in the process is 7,500 pounds, which cost $6.00 per pound. Columbian coffee can be sold without further processing for $9.80 per pound. Columbian coffee can also be processed further to yield Decaf Columbian, which can be sold for $11.60 per pound. The processing into Decaf Columbian requires additional processing costs of $6,300 per batch. The additional processing will also cause a 5% loss of product due to evaporation.
Question Content Area
a. Prepare a differential analysis dated December 11 on whether to sell regular Columbian (Alternative 1) or process further into Decaf Columbian (Alternative 2). If required, use a minus sign to indicate a loss.
The differential analysis is attached accordingly. The workings are indicated below.
What is differential analysis?Differential analysis is a decision-making approach that analyzes the net effects of two alternatives by examining the advantages and costs associated with each. The option chosen has the greatest advantageous (or least adverse) financial impact.
To arrive at the figures in the differential analysis first we derive the Revenue from selling regular Columbian:
Recall that:
Revenue = Sales x Quanity Manufactured; hence
9.8 x 7500
= $73,500
Revenue from Decan Columbian:
11.6 x (95% x 7500)
= 11.6 x 7125
= $82, 650
Cost of selling regular Columbian
Cost = Cost x Units produced
= 6 x 7500
= $45,000
Compute the cost of selling Decaf Columbian
In this case, Cost = Product Cost + Cost of processing
= 45,000 + 6300
= $51,300
Hence the figures indicated in the differential analysis.
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From the challenges of international purchasing and recommend contemporary solutions for purchasing managers.
Global sourcing has been time and immemorial treated as a one-way road by many Scholars. But originally multinational manufacturers always purchase products of low-cost range from developed countries. Thus, making it difficult for the purchasing managers to work.
What is Global Sourcing?Global sourcing is a long-time thing that has been a continuous process whereby people are sourcing a variety of workers for goods and services across geographical and political boundaries.
Global sourcing often tries to get cheap labor out of the market at a minimal cost. They are also imbibed together to find labor at a very cheap or low cost. The part of Global sourcing also means getting the raw materials required for production at a low rate.
Extreme international competition from other manufacturers also needs to be dealt with. A lot of tax-related issues inclusive of the tariffs also need to be taken into account. Hence, my narration is correct.
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How can professional assist school leavers to be successful business owners
STUDY FIRST AND WORKING HARDLY
Which of the following is NOT a benefit of putting money in a savings account?
A. You can make frequent withdrawals
B. You can earn interest
C. Its harder to spend the money
D. The money is safe and secure
I 'm not sure but the answer might be A.
Select the correct text in the passage.
Which sentence identifies business-to-business advertising?
A company that makes CCTV cameras wants to enter new and existing markets. It has set up a strategy of aggressive marketing by active programs and expanding market
size. It adopted a price skimming method wherein it reduced the prices of cameras compared to rivals with a promise of equal quality. It recently sponsored a famous
award show to secure consumer reach. It also won a contract with a security solution agency, which saw the company advertise discounts on CCTV cameras in a trade
journal. It differentiated its product from its rivals with its compact size. It also advertised its product on TV commercials and highway billboards, thus increasing
frequency of reach.
Reset
Next
Answer:
It adopted a price skimming method wherein it reduced the prices of cameras compared to rivals with a promise of equal quality.
Explanation:
A company that makes CCTV cameras wants to enter new and existing markets. It has set up a strategy of aggressive marketing by active programs and expanding market
size. It adopted a price skimming method wherein it reduced the prices of cameras compared to rivals with a promise of equal quality. It recently sponsored a famous
award show to secure consumer reach. It also won a contract with a security solution agency, which saw the company advertise discounts on CCTV cameras in a trade
journal. It differentiated its product from its rivals with its compact size. It also advertised its product on TV commercials and highway billboards, thus increasing
frequency of reach.
Answer: it also won a contract with a security solution agency, which saw the company advertised discounts on CCTV cameras in a trade journal.
Explanation: edmentum
This was not a necessarily an economically efficient move. The fact that it is scrap wood implies that it is not useful for the company's purposes, i.e., making furniture. It is presumptuous to associate a value of $150,000 or $29,000 to the scrap since there is no market for it and thus no market value can be assigned. There is no rational way to calculate the optimal amount of scrap wood. The manager did not go far enough. The most economically efficient outcome would be to reduce scrap altogether. Even at the reduced amount, the company is literally throwing away $29,000 per year when it could recoup that amount with greater diligence.
The manager's decision to reduce scrap wood is not economically efficient, and a more optimal outcome would be to aim for its complete elimination.
The manager's decision to reduce scrap wood, as mentioned in the provided excerpt, is deemed not economically efficient. While it is commendable, the most economically efficient outcome would involve completely minimizing scrap production. The fact that the wood is considered scrap implies its lack of usefulness for furniture manufacturing, making it inappropriate to assign a value of $150,000 or $29,000 to it since there is no existing market or ascertainable market value. Additionally, determining the optimal amount of scrap wood to maintain lacks a rational basis. Despite the manager's efforts, the company still wastes $29,000 annually, which could be salvaged through greater diligence. Thus, the recommended course of action is to aim for a total reduction in scrap production to achieve the utmost economic efficiency.In conclusion, while the manager's effort to reduce scrap wood is commendable, the most economically efficient outcome would be to strive for the complete elimination of scrap, minimizing waste and maximizing cost savings for the company.
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