Answer:
Yes he will prevail because the advert placed is a unilateral contract
Explanation:
A unilateral contract is one that has only one promisor who receives a promise for his from the offeror. It is usually settlement for a particular service or product.
On the other hand bilateral agreement has both parties as the promisor and offeror. Meaning both of them have conditions that must be fulfilled in the contract by the other person.
In the given instance Stevens placed an ad in a literary magazine offering $7,400 for a complete set of Vacation in Paradise, a five volume set.
Any service short of this can be viewed as a failure in the contract.
Adams gave to Stevens four volumes of the Vacation in Paradise set as a birthday present. Adams was informed of the offer at some point, obtained the missing volume, brought the volume to Stevens.
Since Adams had not initially satisfied conditions set by Stevens, Stevens can refuse to make the $7,400 payment
On January 1, 2020, Scottsdale Company issued its 11% bonds in the face amount of $3,000,000, which mature on January 1, 2030. The bonds were issued for $$3,385,058 to yield 9%. Scottsdale uses the effective-interest method of amortizing bond premium. Interest is payable annually on December 31. The 12/31/23 Premium on Bond Payable balance is:
Answer:
$269,153
Explanation:
Dr Cash 3,385,058
Cr Bonds payable 3,000,000
Cr Premium on bonds payable 385,058
premium amortization year 1 = ($3,385,058 x 9%) - $330,000 = $304,655 - $330,000 = -$25,345
premium amortization year 2 = ($3,359,713 x 9%) - $330,000 = -$27,626
premium amortization year 3 = ($3,332,087 x 9%) - $330,000 = -$30,112
premium amortization year 4 = ($3,301,975 x 9%) - $330,000 = -$32,822
premium's balance = $269,153
Which of the following statement is correct?
a. firms in monopoly can sell non-commodities while firms in monopolistic competition cannot.
b. firms in monopoly can sell a commodity while firms in monopolistic competition cannot.
c. firms in monopoly are price setters while firms in monopolistic competition are not.
d. firms in monopoly can make economic profit in the short run while firms in monopolistic competition cannot.
Answer:
the correct answer I to this question is c
Why is the United States concerned about China’s devaluation of the yuan?
Answer:
a stronger dollar cuts into inflation in the United States, and it might force the fed to cut interest rates by more than it would otherwise to sustain its desired pace of growth and price gains.
Explanation:
Why is it important to select products and services that represent best value for money
Answer:
Too low of a price means you forgo potential profits. The most important factor in product price setting is choosing a price low enough that customers perceive they are getting a good value relative to what your competitors are offering and the prices they are charging -- but yet high enough to generate a profit.
Explanation:
Please answer !!! For a lot of points
i think B is the answer,but ask another person too!
.
and tnx for points too :)
Answer:
thanks for points
Explanation:
Sonor Systems undertakes its own machine maintenance. The depreciation on the equipment is $20,000 per year and operating cost is $2 per machine hour. Last year 275,000 machine hours were used to produce 100,000 units. If 300,000 machine hours had been worked last year, what would be the total machine maintenance cost
Answer:
$570,000
Explanation:
Total machine maintenance cost calculation.
Depreciation expenses $20,000
Operating cost
($275,000 MH × $2). $550,000
Total machine machine maintenance cost $570,000
Therefore, the total machine maintenance cost of the machine is $570,000
During the current year, the Town of Salo Alto recorded the following transactions related to its property taxes: Levied property taxes of $3,300,000, of which 2 percent is estimated to be uncollectible. Collected current property taxes amounting to $2,987,500. Collected $26,500 in delinquent taxes and $2,400 in interest and penalties on the delinquent taxes. These amounts had been recorded as Deferred Inflows of Resources in the prior year. Imposed penalties and interest in the amount of $3,750 but only expects to collect $3,100 of that amount. None is expected to be collected this year or within 30 days of year-end. Reclassified uncollected taxes as delinquent. These amounts are not expected to be collected within the first 60 days of the following fiscal year.
Question Completion:
Prepare the journal entries.
Answer:
Town of Salo Alto
Journal Entries:
Debit Property Taxes Receivable $3,300,000
Credit Unearned Property Taxes $3,300,000
To record the levying of property taxes.
Debit Uncollectible Expense $66,000
Credit Allowance for Uncollectible Property Taxes $66,000
To record the 2% allowance for uncollectible taxes.
Debit Cash $2,987,500
Credit Property Taxes Receivable $2,987,500
To record the collection of current property taxes.
Debit Cash $28,900
Credit Deferred Inflows of Resources $26,500
Credit Interest and Penalties $2,400
To record the collection of delinquent taxes with interest and penalties.
Debit Penalties and Interest Receivable $3,750
Credit Interest and Penalties $3,100
Credit Allowance for uncollectible $650
To record penalties and interest imposed.
Debit Deferred Inflows of Resources $312,500
Credit Property Taxes Receivable $312,500
To re-classify uncollected taxes as delinquent.
Explanation:
The ASC 606, as applicable to GASB, specifies when property tax revenues should be recognized in government-wide financial statements. Governmental revenue, e.g. property tax revenue, should be considered as revenue in the current period if it can be collected within that period or sixty days after the current period. If it cannot be so collected, it needs to be re-classified as delinquent.
The management accountant at Lang Manufacturing Co. collected the following data in preparation for a life-cycle analysis on one of its products, a leaf blower: Item This Year Change Over Last Year Average Annual Change Over the Last Four Years Annual sales $2,700,000 1.8% 23.5% Unit sales price 450 2.4% 8.3% Unit profit 100 -1.0% 3.0% Total profit 600,000 -1.2% 30.0% The stage of the sales life cycle the product is in is: Withdrawal. Introduction. Decline. Maturity. Growth.
Answer: Decline stage
Explanation:
The stage of the sales life cycle the product is in the Decline stage of the product cycle. We can see that the average performance of the product over its past life is higher than that of its last year's performance.
Under the decline stage, there will be a reduction in the quantity of goods that's sold thereby leading to a reduction in profits until it gets to a point that producing the goods will not be profitable anymore.
To be considered part of a market, an individual must
Answer:
Have both willingness to buy and the financial resources needed to buy.
A supply curve is upward-sloping because At higher prices sellers have a greater incentive to produce more, ceteris paribus. The law of supply states that as price rises, the quantity supplied increases. At lower prices sellers may not be covering their costs of production and are therefore willing to supply less. All of the answers are correct.
Answer:
All of the answers are correct.
Explanation:
The law of supply states that in a production process when the price of. Commodity increases the suppliers are more willing to supply more goods, while when price falls suppliers tend to supply less goods.
This is as a result of lower motivation to sell at a lower price where profit margins are low. The higher the price the more the profit made so they are more motivated.
Also when prices are too low the suppliers may barely cover their cost of production so they tend to supply less.
Attached is a diagram of the supply curve
Two manufacturing firms, located in cities 90 miles apart, both send their trucks four times a week to the other city full of cargo and return empty. Each driver costs $275 per day with benefits (the round trip takes all day) and each firm has truck operating costs of $1.30 a mile. How much could each firm save weekly if each sent its truck twice a week and hauled the other firm's cargo on the return trip
Answer: $1,018
Explanation:
Cities are 90 miles apart so a roundtrip is 180 miles which means that the operating cost per trip is:
= 1.30 * 180
= $234
Total cost per trip = Divers cost + operating cost
= 275 + 234
= $509
Four trips are made per week so total cost is:
= 509 * 4
= $2,036
If each sent its truck twice a week and hauled the other firm's cargo on the return trip then savings would be:
= Cost of 4 trips - cost of 2 trips
= 2,036 - (509 * 2)
= $1,018
On January 1, 2021, Jasperse Corporation leased equipment under a finance lease designed to earn the lessor a 12% rate of return for providing long-term financing. The lease agreement specified ten annual payments of $75,000 beginning January 1, and each December 31 thereafter through 2029. A 10-year service agreement was scheduled to provide maintenance of the equipment as required for a fee of $5,000 per year. Insurance premiums of $4,000 annually are related to the equipment. Both amounts were to be paid by the lessor and lease payments reflect both expenditures. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) At what amount will Jasperse record a right-of-use asset
Answer:
$442,977.5
Explanation:
Calculation for what amount will Jasperse record a right-of-use asset
Right of use asset = ($75,000 -$5,000) x PVAD, 12%, 10
Right of use asset =$70,000*6.32825
Right of use asset =$442,977.5
Therefore what Jasperse will record a right-of-use asset will be $442,977.5
Question 1 of 10
If a product lacks necessary instructions, it is a(n)
product.
A. defective
B. express warranty
C. limited warranty
D. extended warranty
What is the answer to this
As an investor, what is the risk involved when investing in companies on the stock
exchange?
a. Investors can lose their existing shares if the value of the stock does not
increase within 90 days of purchase
b. Once they purchase a share, investors cannot sell them at a higher price
The price of stocks can decrease; for example, when the company
receives bad press
d. Investors are only at risk if the purchase a share when the stock price has
fallen
C.
Answer:d
Explanation:
The investor are only at risk if the purchase of a share when the stoc price has fallen
Your daughter is currently 10 years old. You anticipate that she will be going to college in 8 years. You would to have $136,000 in a savings account to fund her education at that time. If the account promises to pay a fixed interest rate of 3% per year, how much money do you need to put into the account today to ensure that you will have $136,000 in 8 years
Answer:
$107,359.66
Explanation:
We are to calculate the present value of $136,000
The formula for calculating present value is :
The formula for calculating future value:
P = FV / (1 + r)^n
FV = Future value
P = Present value
R = interest rate
N = number of years
$136,000 / (1.03)^8 = $107,359.66
Covent Gardens Inc. is considering two financial plans for the coming year. Management expects sales to be $300,000, operating costs to be $265,000, assets to be $200,000, and its tax rate to be 35%. Under Plan A it would use 25% debt and 75% common equity. The interest rate on the debt would be 8.8%, but under a contract with existing bondholders the Times Interest Earned (TIE) ratio would have to be maintained at or above 4.5. Under Plan B, the maximum debt that met the TIE constraint would be employed. Assuming that sales, operating costs, assets, the interest rate, and the tax rate would all remain constant, by how much would the ROE change in response to the change in the capital structure?
Answer:
Assets = $200,000
For Plan A
25% debt = 200,000 * 25% = 50,000
75% equity = 200,000 * 75% = 150,000
The debt will generate 8.8% interest expense. Interest expense = 50,000 * 8.8% = 4,400
Income for the expected project under Plan A
Sales revenue 300,00
Operating cost 265,000
EBIT 35,000
Interest expense 4,400
EBT 30,600
Income tax 10,710
Net income $19,890
Times interest earned = EBIT /interest expense = 35,000 / 4,400 = 7.95. So, it achieve the requirement of 4.5 or above.
ROE for plan A = Net income / Equity = 19,890/150,000 = 0,1326 = 13.26%
Under Plan B
We will take as much debt as we can until Times interest earned = 4.5
EBIT / interest expense = Times interest earned
35,000/Interest expense = 4.5
Interest expense = 35,000/4.5
Interest expense = 7.777,78
Net income = (EBIT - interest) x (1- tax-rate)
Net income = (35,000 - 7,777.78) x (1-35%)
Net income = 17.694,443
Interest expense = Debt * Rate
Debt = Interest expense / Rate
Debt = 7,777.78/0.088
Debt = 88.383,86
Asset = Debt + Equity
200,000 = 88,383.86 + Equity
Equity = 200,000 - 88,383.86 =
Equity = 111,616.14
ROE for Plan B = Net income/ Equity = 17,694.443 / 111,616.14 = 0,15852943 = 15.85%
So, we compare both ROE
Plan A = 13.26%
Plan B = 15.85%
Difference = 2.59%
So therefore, using the Plan B will increase the ROE for 2.59%
What would you do if you got conflicting answers for the same procedure from two different people you interviewed? What would you do if one was a clerical person and the other was the department manager?
Answer:
The best solution will be to get the two individuals together to try and get a solution that is agreeable between two of them.
Explanation:
The role of a system analyst is not to make a decision about the best procedure to use, rather it is the responsibility of the users to do so.
The analyst is to facilitate a common ground that takes into consideration all views.
In the given scenario the department manager may be privy to information that the clerical person does not have. This will give a better view of processes that will be in line with business goals and objectives.
However the clerical staff pays more attention to details of business procedures. He is most likely more updated on business procedure that the department head.
The best way forward is the get the two of them together to trash out the differences of their procedures and come up with one that takes the managerial view of the department head and the detail oriented view of the clerical staff into consideration
The role of the system analyst is not to decide on the best method to use, rather it is the responsibility to come up with a common viewpoint where both their opinions can be considered.
What are the responsibilities of a System Analyst?A systems analyst is a person who uses analytical and design techniques to solve business problems using information technology.
System analysts can act as agents of change who identify organizational improvements needed, design systems to implement those changes, and train and motivate others to use the systems.
The analyst is to facilitate a consensus that takes into account all the ideas.
In this case, the department head may be aware of information that the pastor does not have. This will give you a better idea of the processes that will align with the goals and objectives of the business.
However, clerical staff pays close attention to details of business processes. The clerk may know more about the business processes head of a department.
The best way forward is to bring the two together to eliminate the differences in their procedures, it is the system analyst's responsibility to come up with a common viewpoint where both their opinions can be considered.
To learn more about role of system analyst, refer:
https://brainly.com/question/25488537
On 12/31/2020, Heaton Industries Inc. reported retained earnings of $675,000 on its balance sheet, and it reported that it had $172,500 of net income during the year. On its previous balance sheet, at 12/31/2019, the company had reported $555,000 of retained earnings. No shares were repurchased during 2020. How much in dividends did Heaton pay during 2020?
a. $47,381
b. $49,875
c. $57,881
d. $55,125
e. $52,500
Answer:
e. $52,500
Explanation:
Beginning balance of retained earnings= $555,000
Net earning for the period=$172,500
Closing retained earnings balance for the period: $675,000
Closing retained earning =Beginning balance + net earnings - dividend
$675000 = $555,000 +$172,500- Dividends
$675000 = $727,500 - Dividends
Dividends = $727,500 - $675,000
Dividends =$52,500
Two examples of factors of production
Answer:
land, labor, entrepreneurship, and capital
Explanation:
Consider the decision to purchase either a 5-year corporate bond or a 5-year municipal bond. The corporate bond is a 12% annual coupon bond with a par value of $1,000. It is currently yielding 11.5%. The municipal bond has an 8.5% annual coupon and a par value of $1,000. It is currently yielding 7%. Assume that your marginal tax rate is 35%. What is the after tax yield to maturity (YT
Answer:
MUNICPAL BOND YTM; r= 7.00%
CORPORATE BOND YTM; r= 7.35%
Explanation:
Given the data in the question;
To get the after tax yield to maturity (YTM)
MUNICPAL BOND
Purchase price PV of coupons + PV of Face value at maturity
[(1000×8.5%) × (1 - 1.07⁻⁵] / 0.07) + (1000/1.07⁵)
348.516 + 712.98 = 1061.5
After-tax coupon payment 1000 × 8.5% = 85
COUPONS RECORD ON MUNICIPAL ARE
TAX-EXCEMPT.
Par value 1000
Calculated YTM 1061.5 = (85× (1-(1+r)⁻⁵)/r) + (1000/(1+r)⁵)
r= 7.00%
CORPORATE BOND
Purchase price PV of coupons +PV of Face value at maturity
((1000×12%) × (1-1.115⁻⁵)/0.115) +(1000/1.115⁵)
437.985 + 580.264 = 1018.25
After-tax coupon payment 1000 × 12% × (1 - 35%) = 78
Par value 1000
Calculated YTM 1018.25 = (78× (1-(1+r)⁻⁵)/r) + (1000/(1+r)⁵)
r= 7.35%
MUNICPAL BOND YTM; r= 7.00%
CORPORATE BOND YTM; r= 7.35%
A company that manufactures air-operated drain valve assemblies currently has $100,000 available to pay for plastic components over a 5-year period. If the company spent only $52,000 in year 1, what uniform annual amount can the company spend in each of the next 4 years to deplete the entire budget
Answer:
$18,297.31
Explanation:
The computation of the uniform amount that could be spend is shown below"
Here we determine the PMT
Given that
We assume the RATE = 10%
NPER = 5 - 1 = 4
PV = $100,000 × 1.1 - $52,000
= $110,000 - $52,000
= $58,000
FV = $0
The formula is given below:
= PMT(RATE,NPER,PV,FV,0)
The present value comes in negative
After applying the above formula, the uniform annual amount is $18,297.31
Suppose you know that a company's stock currently sells for $57 per share and the required return on the stock is 10.4%. You also know that the total return on the stock is evenly divided between capital gains yield and dividend yield. If it's the company's policy to always maintain a constant growth rate in its dividends, what is the current dividend per share?
What is the dividend per share in Year 4?
Answer:
$2.82
Explanation:
Calculation for what is the current dividend per share
First step is to calculate the Dividend yield
Dividend yield= 1/2 (.104)
Dividend yield= .052
Now let calculate the current dividend per share
Current dividend per share=(.052*57 per share)/(1+0.052)
Current dividend per share= 2.964/1.052
Current dividend per share=$2.82
Therefore the Current dividend per share will be $2.82
John, who has just completed his first finance course, is unsure whether he should take a course in business analysis and valuation using financial statements, since he believes that financial analysis adds little value, given the efficiency of capital markets. Explain to John when financial analysis can add value, even if capital markets are efficient.
Answer:
Following are the solution to the given question:
Explanation:
The financial analysis allows you to understand the strong a corporation's finances throughout the study of capital markets, which's very helpful. Mercedes typically produce short-term misprice for resources as well as the returns are created by an investor/fund manager. These gains also are called Alpha. Economic analysis shows whether an organization handles its money. Economic reporting in project management is useful to recognize its competitive edge of a capital market business and, ultimately, that company(asset) sells efficiently over a lengthy sector.
The Great Railway Strike of 1877 __________. Group of answer choices represented a weakness in the system that allowed railroads to shut down, thus shutting down commerce occurred when the Baltimore and Ohio railroad announced a pay cut of 10% for all of its workers was calmed when the railroad gave in to demands of the workers resulted in significant legislation to prevent railroad strikes from ever happening again
Answer:
occurred when the Baltimore and Ohio railroad announced a pay cut of 10% for all of its workers.
Explanation:
The Great Railway Strike of 1877 occurred when the Baltimore and Ohio railroad announced a pay cut of 10% for all of its workers.
Henry is a manager in an operations department in a computer manufacturing company. He thoroughly studied the production process and calculated how long it takes to get the job done. Then he figured out a more efficient way to put all parts together for a computer. He trains and develops employees to use the new method and works with employees to implement the scientific principles. Which of the following management theories does Henry use in this case?
a. Theory X and Theory Y.
b. Systems management.
c. Human relations management.
d. Scientific management.
Answer:
d. Scientific management.
Explanation:
The management theory used by Henry in this case is scientific management, which can be understood as an administrative model created by Taylor.
The main objective of scientific management is to make work more efficient using less resources and efforts, that is, making work more flexible by rationalizing work and implementing scientific techniques and training employees so that there is efficiency and effectiveness in organizational processes, with the lowest cost, time and continuous improvement.
On January 1, 2020, Sheffield Company makes the two following acquisitions. 1. Purchases land having a fair value of $220,000 by issuing a 4-year, zero-interest-bearing promissory note in the face amount of $346,174. 2. Purchases equipment by issuing a 6%, 8-year promissory note having a maturity value of $410,000 (interest payable annually). The company has to pay 12% interest for funds from its bank. (a) Record the two journal entries that should be recorded by Sheffield Company for the two purchases on January 1, 2020. (b) Record the interest at the end of the first year on both notes using the effective-interest method.
Answer:
A. Dr Land $220,000.00
Dr Discount on Notes Payable $126,174.00
Cr Notes Payable $346,174.00
Dr Cash $287,796.06
Dr Discount on Note Payable $122,203.94
Cr Note Payable $410,000
B. December 31, 2017
Dr Interest expense $26,400
Cr Discount on Notes Payable $26,400
December 31, 2017
Dr Interest expense $34,535.5
Cr Cash $24,600
Cr Discount on Notes Payable $9,935.5
Explanation:
(a) Preparation to Record the two journal entries that should be recorded by Sheffield Company for the two purchases on January 1, 2020.
Dr Land $220,000.00
Dr Discount on Notes Payable $126,174.00
($346,174.00-$220,000.00)
Cr Notes Payable $346,174.00
Dr Cash $287,796.06
Dr Discount on Note Payable $122,203.94
Cr Note Payable $410,000
Calculation for the PV of note using Financial calculator
N=8
I/Y% = 12%
Interest payment – $410,000 x .06 = $24,600
FV = $410,000
PV of note = $287,796.06
Calculation for Discount on note
Discount on note = $410,000 –$287,796.06
Discount on note= $122,203.94
(b) Preparation of the journal entry to Record the interest at the end of the first year on both notes using the effective-interest method.
December 31, 2017
Dr Interest expense $26,400
($220,000 x .12)
Cr Discount on Notes Payable $26,400
December 31, 2017
Dr Interest expense $34,535.5
($287,796.06*.12)
Cr Cash $24,600
($410,000 x .06)
Cr Discount on Notes Payable $9,935.5
($34,535.5-$24,600)
You want to receive $5000 per month for 20 years in real dollars in an account when you retire in 35 years. The first monthly payment to be received 1 month after you retire. The nominal return on your investment is 9.94 percent and the inflation rate is 3.2 percent. What is the real amount you must deposit each year for 35 years to achieve your goal
Answer:
The real amount you must deposit each year for 35 years to achieve your goal is $5,359.02
Explanation:
To calculate the real amount we need to calculate the real interest rate as follow
1 + Nominal rate = ( 1 + Real rate ) x ( 1 + Inflation rate )
1 + 9.94% = ( 1 + Real rate ) x ( 1 + 3.2% )
1.0994 = ( 1 + Real rate ) x 1.032
1 + Real rate = 1.0994 / 1.032
1 + Real rate = 1.06531
Real rate = 1.06531 - 1
Real rate = 0.06531
Real rate = 6.531% = 6.53%
We need to calculate the PV of the payment that should be received.
Use the following formula to calculate the present value
PV of Annuity = Annuity payment x ( 1 - ( 1 + Interest rate )^-numbers of annuity payments ) / Interest rate
Where
Annuity Payment = $5,000 per month
Interest rate = 6.53% / 12 = 0.5442%
Numbers pf annuity payments = 20 years x 12 payments per year = 240 payment
PLacing values in the formula
PV of Annuity = $5,000 x ( 1 - ( 1 + 0.5442% )^-240 ) / 0.5442%
PV of Annuity = $5,000 x 133.80362
PV of Annuity = $669,018.09
Now calculate the amount of deposit required to receive the payment after retirement.
Use the following formula to calculate the real deposit
Future value of annuity = Annuity Payment x ( 1 + Interest rate )^numbers of annuity payments - 1 ) / Interest rate
Where
Future value of annuity = $669,018.09
Interst rate = 6.53%
Numbers of annuity payment = 35 years x 1 payment per year = 35 payments
Annuity payment = Real amount of deposit = ?
Placing values in the formula
$669,018.09 = Real amount of deposit x ( 1 + 6.53% )^35 - 1 ) / 6.53%
$669,018.09 = Real amount of deposit x 124.83967
Real amount of deposit = $669,018.09 / 124.83967
Real amount of deposit = $5,359.02
In The Last Lecture video, Randy Pausch informs his audience about his health situation and then goes into sharing his childhood dreams that he was able to achieve. Through his lecture, he is able to demonstrate the leadership competencies commonly identified among leaders from around the world. In a PowerPoint presentation, Analyze seven key leadership competencies observed in The Last Lecture Identify how these competencies relate to various leadership styles. Determine how these leadership competencies apply to organizational success.
The correct answer to this open question is the following.
Unfortunately, you did not attach the link to the video.
However, what we can do is to share some leadership competencies commonly identified among leaders from around the world so you cant use this information to prepare your PowerPoint Presentation.
Let's start with two leadership traits that are included in the famous speech delivered by professor Randy Pausch titled "Really Achieving Your Childhood Dreams," on September 18, 2007, at McConomy Auditorium at Carnegie Mellon University.
When Pausch was referring to his dream of being a professional football player in the NFL, he said his high school coaches taught him various leadership lessons.
Persistence. No matter the coach was hard on him, he understood the value of being persistent and never surrender.
Own the fundamentals. He understood during his football practices that fundamentals were the basis for everything. So you have to work on your fundamentals to do things right.
Feedback. Leaders like to give feedback, although it comes in screams and shouts. Pausch understood that if the coach was hard on him, was because the coach was interested in him and wanted him to improve as a player and as a person.
Enthusiasm. Pausch said that coach Graham taught him the trait of enthusiasm. No matter what happened, players and coaches had to show enthusiasm all the time.
Acceptance. Pausch commented that when he was at Electronics Arts, he learned about the importance to accept the experience, which for him was to get what you receive that you did not want.
Be a role model. You have to be a role model when you are in command, and he set the example of Captain Kirk in the Star Trek TV series.
Being an Imagineer. He said that imagination was very important to create new and useful new things.
The following costs result from the production and sale of 4,450 drum sets manufactured by Tight Drums Company for the year ended December 31, 2019. The drum sets sell for $295 each. The company has a 30% income tax rate. Variable production costs Plastic for casing $ 115,700 Wages of assembly workers 404,950 Drum stands 155,750 Variable selling costs Sales commissions 106,800 Fixed manufacturing costs Taxes on factory 14,500 Factory maintenance 29,000 Factory machinery depreciation 89,000 Fixed selling and administrative costs Lease of equipment for sales staff 29,000 Accounting staff salaries 79,000 Administrative management salaries 159,000 Required: 1. Prepare a contribution margin income statement for the year. 2. Compute its contribution margin per unit and its contribution margin ratio.
Answer:
See below
Explanation:
1. Contribution margin income statement
Sales (4,450 × $295)
$1,312,750
Less: Variable costs
Plastic for casting
$115,700
Wages
$404,950
Drum stand
$155,750
Variable selling
$106,800
Contribution
$529,550
Less : Fixed costs
Taxes on factory
$14,500
Factory Maintenance
$29,000
Depreciation
$89,000
Lease of equipment
$29,000
Accounting staff salaries
$79,000
Admin management salaries
$159,000
Profit before tax
$130,050
Less :
Tax at 30%
$39,015
Profit after tax
$91,035
2. Contribution margin per unit
Contribution margin per unit = Total contribution / Number of units
Contribution margin per unit = $529,550 / 4,450
Contribution margin per unit = $119 per unit
•Contribution margin ratio
= Contribution margin per unit / Unit cost of drum
= $119 / $295
Contribution margin ratio = 40.34%
A shoe company will make a new type of shoe. The fixed cost for the production will be $24,000. The variable cost will be $31 per pair of shoes. The shoes will sell for $100 for each pair. How many pairs of shoes will have to be sold for the company to break even on this new line of shoes
Answer:
Break-even point in units= 348
Explanation:
Giving the following information:
The fixed cost for the production will be $24,000. The variable cost will be $31 per pair of shoes. The shoes will sell for $100 for each pair.
To calculate the break-even point in units, we need to use the following formula:
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 24,000 / (100 - 31)
Break-even point in units= 347.82 = 348