A stock price is $29. An investor buys one call option contract on the stock with a strike price of $30 and sells a call option contract on the stock with a strike price of $32.50. The market prices of the options are $2.75 and $1.50, respectively. The options have the same maturity date. A Bull Spread is the investor's position.
What is a bull spread option?When a trader ists on a stock's price increasing only slightly, they utilize a bull call spread as an options strategy. The technique uses two call options to establish a range with a lower strike price and an upper strike price.
Using a bull put spread, how can you profit?The price of the underlying stock should be higher than the short put's strike price (which is higher) at expiration for a bull put spread to yield the highest profit. "Neutral to bullish price activity" is hence the optimum prognosis.
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Taryn’s organization places high value on employees who are confrontational and aggressive in their relationships with others. The GLOBE Project would rate this organization as high in which cultural dimension?
Project GLOBE, would rank Taryn's organization as high in the cultural dimension of assertiveness.
This cultural dimension of the company portrays an organization that encourages competitiveness and confrontation between employee relationships, being a performance-oriented organization.
Therefore, assertiveness in an organizational culture can be advantageous, as it encourages greater exposure of ideas and opinions, in an honest and direct way, which can:
increase creativity and innovation.make the decision-making process more objective and faster.improve communication.provide more feedback.Learn more here:
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Financial aid letters show your aid and costs of attendance for _____.
Financial aid letters show your aid and costs of attendance for an academic year.
What is a financial aid letter?This is a letter that a tertiary institution gives to a student to show the cost of their attendance at the college they are currently enrolled in.
The period covered in the letter is the academic year which means that the costs associated with two semesters of attending the university will be shown to the student.
These costs will include things like tuition fees, room and board fees, transportation and other miscellaneous costs.
The letter will also include all the financial aids that the student may receive including federal grants, college grants, state grants, and federal loan options that a person may be eligible for.
In conclusion, financial aid letters show the costs of attendance in an academic year and the aid that comes with it.
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Splish Brothers Inc. sold its accounts receivable of $70,300. What entry should Splish Brothers make, given a service charge of 4% on the amount of receivables sold?
1. Think about a business idea (sector)
2. Create a budget and a cash flow statement for that business
3. Highlight the investment appraisal technics to determine if such a business is viable or not.
4. Indicate the source of funding and if it's a loan create an amortisation schedule.
5. Try to convince someone to invest in your project with convincing evidences.
I would like to start a business in the renewable energy sector. Specifically, I would like to develop and install solar panels on homes and businesses.
How to explain the businessThe initial investment for this business would be $100,000. This money would be used to purchase solar panels, hire installation crews, and market the business.
I would use the following investment appraisal techniques to determine if this business is viable:
Net present value (NPV): Internal rate of return (IRR):Payback period:The source of funding for this business would be a combination of personal savings, loans, and grants. I would use my personal savings to cover the initial costs of the business.
If I were to take out a loan to finance the business, I would create an amortisation schedule to show how the loan would be repaid over time. The amortisation schedule would show the amount of the loan that would be repaid each year, as well as the interest that would be paid on the loan.
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If the amount of gasoline purchased per car at a large service station has a population of $15 and a population standard deviation of$4 then 99.73% of all cars will purchase between $3 and $27
The range between $3 and $27 is three standard deviations away from the mean.
Since we know that 99.73% of the data falls within three standard deviations of the mean, we can estimate that 99.73% of all cars will purchase gasoline between $3 and $27.
According to the given information, the population mean is $15, and the population standard deviation is $4.
This means that 99.73% of all cars will purchase gasoline within three standard deviations of the mean, using the empirical rule.
Therefore, we can use the empirical rule to estimate the percentage of cars that will purchase gasoline between $3 and $27.
The empirical rule is also known as the 68-95-99.7 rule, which states that:Approximately 68% of the data falls within one standard deviation of the meanApproximately 95% of the data falls within two standard deviations of the meanApproximately 99.7% of the data falls within three standard deviations of the mean.
To find the number of standard deviations that correspond to $3 and $27, we need to calculate the z-scores.
The z-score formula is given as:z = (x - μ) / σwhere z is the standard score, x is the value of the variable, μ is the population mean, and σ is the population standard deviation.
To find the z-score for $3, we plug in the values:z = (3 - 15) / 4z = -3To find the z-score for $27, we plug in the values:z = (27 - 15) / 4z = 3.
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Please Help!!!!
What are some reasons that companies might not be addressing Gen Y leadership development programs? Discuss
Due to the way they were taught, Generation Y really has a propensity to struggle with problem solving, failing, accepting and learning from errors, and having realistic expectations. Independence, accountability, and responsibility are all reduced.
What tactics should managers take when interacting with Generation Y workers?What Every Manager Needs to Know About Managing Generation Y
Help them get used to working there without alarming or insulting them.Provide them trustworthy educational experiences that will enable them to be successful in their careers.Prevent them from self-destructing.What can be a drawback for Gen Y workers?The stereotypes about millennials include being too relaxed, impatient, and lazy. Employers of Generation Y workers say that these people have low standards for pay, a poor work ethic, and difficulty focusing and concentrating. They seem to be hopping jobs in an outrageous manner.
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What are the benefits and advantages of members when joining organizations like UNWTO, PATA, or ASIANTA?
The benefits and advantages of members when joining organizations like UNWTO, PATA, or ASIANTA include:
Economic growth: It should be noted that UNWTO is vital for the growth and the development of a country as it helps in the development of its tourism sector.Environmental sustainability: The organizations are vital in helping their members engage in practices that'll help in the protection of their environment.Tourism: The agencies are responsible for promoting acceptable and accessible tourism.In conclusion, United Nations World Tourism Organization (UNWTO) is important in promoting tourism in a country.
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What is the main reason that people purchase insurance policies?
A. they want to reduce the cost of their student or personal loans.
B. They want to avoid paying for major unexpected expenses.
C. They want to avoid increasing their monthly premiums
D. They want to invest money in insurance to grow it over time
Option B is correct. The main reason that people purchase insurance policies is because they want to avoid paying for major unexpected expenses.
What is an insurance policies?An insurance policy can be defined a contract between the insurer and the policyholder which determines the claims which the insurer is legally required to pay. The policy is enforced in an exchange for an initial payment known as the premium in which the insurer promises to pay for loss caused by perils covered under the policy language.
Most of the insurance contracts are designed to meet specific needs and thus have many features not found in many other types of contracts. Because these insurance policies are standard forms, they often feature boilerplate language which is similar across a wide variety of different types of insurance policies.
Some examples of the popular insurance policies includes a Life Insurance, Health Insurance, Disability Insurance, Homeowner's Insurance, Automobile Insurance, Liability Insurance etc,
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Mazu Mavuso is a 43-year-old South African resident who was employed by Veg & Fruit Limited, a South African company, until 30 November 2022. On 30 November 2022, Veg & Fruit Limited ceased its operations and the pension fund that Veg & Fruit Limited established for its employees also closed down. The Veg & Fruit Limited pension fund paid out R80 000 to Mazu Mavuso during the 2023 year of assessment. All Mazu Mavuso's pension fund contributions have been deducted in the determination of his taxable Income. Mazu Mavuso also decided to join a retirement annuity fund, to which he made a total contribution of R7 000 during the 2023 year of assessment. For the 2023 year of assessment, Mazu Mavuzo's receipts and expenses were as follow: Salary Director's fees earned Local dividends from South African companies Local interest from a non 'tax free investment' Pension fund contributions at 6.5% of his salary Retirement annuity fund contributions Qualifying medical expenses paid Donation to a qualifying section 18A Public Benefit Organisation R 720 000 110 000 45 000 24 500 ? 7 000 61 630 6 000 Calculate Mazu Mavuso’s taxable income for the 2023 year of assessment. (25 marks) 1.2) Calculate Mazu Mavuso’s total normal tax liability for the 2023 year of assessment. Assume that Mazu Mavuso had a taxable income of: • R770 900 before any retirement fund lump sum withdrawal benefits. • R843 900 after any retirement fund lump sum withdrawal benefits. (17 marks) Competency Framework Reference: E1.2 Interpretation of tax legislation b) Demonstrate the ability to apply the principles of tax interpretation to any new or unfamiliar tax legislation. E1.3 Application of tax legislation to calculate tax obligation a) Analyse the taxpayer’s tax profile. c) Apply the relevant law to the facts, determine the tax position and compute the tax payable (VAT or normal tax) for individuals and companies.
Explanation:
to calculated this question to solve
Gary's wife died last year, so he has been raising his three children on his own. When he files his taxes this year, which tax status will best fit his
situation?
OA single
OB. widow/widower
OC. married, filling jointly
OD. married, filing separately
If he he files his taxes this year, the tax status that will best fit his situation is:widow/widower.
What is tax?Tax can be defined as the amount a person or a tax payer files or remit to the government.
Based on the given scenario if his wife died last year which means that when he files his taxes this year the tax status that will best fit his situation will be a widower.
Therefore Gary is a widower.
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Increased capital investment is generally used for what business expenses?
A:capital expenditures
B:employee compensation
C:inventory purchases
D:health insurance
Lisa, a supervisor at a manufacturing facility, suspects that one of her subordinates may be under the influence of drugs or alcohol. Which one of the following, if true, would lead Lisa to this conclusion?
If Lisa suspects that one of her subordinates is under the influence of drugs or alcohol, she should approach the situation with sensitivity and professionalism.
If Lisa suspects that one of her subordinates may be under the influence of drugs or alcohol, there could be several signs or symptoms that may lead her to this conclusion. One possible indicator is a change in behavior or attitude. For example, if the subordinate has become increasingly moody, agitated, or withdrawn, this could be a sign that they are struggling with substance abuse. Another possible sign could be a decline in job performance, such as missing deadlines, making mistakes, or being frequently absent from work. The subordinate may also exhibit physical symptoms, such as bloodshot eyes, slurred speech, or unsteadiness on their feet. Furthermore, Lisa may observe that the subordinate is experiencing financial problems, as drug and alcohol addiction can be costly and may lead individuals to miss work or spend their money on substances rather than other necessities. Lisa may also notice that the subordinate has become more secretive or defensive, particularly when questioned about their behavior or whereabouts. It is important to gather as much information as possible before making any accusations or taking any disciplinary action. She may also consider seeking guidance from the company's human resources department or employee assistance program to ensure that the subordinate receives the help they need to overcome their addiction.
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Kevin owns a toy company. How should he ensure that his customers are receiving a high-quality product
A. Offer a discount on future purchases to customers
B. Repair products that have been sold to customers and are broken
C. Survey customers and ask for suggestions
D. Test a prototype
Option (d), Kevin owns a toy store. In this method, he may run a prototype test to ensure that his customers are receiving a high-quality product.
How do you know your customer service is top-notch?If you pay attention to your customers, acknowledge their needs, thank them, and create a warm, welcoming environment, they will think highly of you. A satisfied consumer is more inclined to buy more from you again. Additionally, they could suggest others to your business.
Kevin has several alternatives to ensure that his customers receive high-quality products.
One option is to test a prototype first to ensure the finished product satisfies the appropriate quality standards.Additionally, he may improve the quality of the finished product by using customer feedback. He may conduct client surveys and ask for suggestions in order to understand more about their preferences and goals.Kevin may also offer a warranty or guarantee on his goods and repair or replace any defective things that he has sold to customers.By doing this, he could demonstrate his concern for customer satisfaction and enhance his company's reputation as a producer of high-quality items.Learn more about customer satisfaction: https://brainly.com/question/28387894
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What is the job outlook for a US postal worker?
The career is growing and will provide more opportunities over time.
The career is growing and will provide fewer opportunities over time,
O The career is shrinking and will provide more opportunities over time.
O The career is shrinking and will provide fewer opportunities over time.
Answer:
D: The career is shrinking and will provide fewer opportunities over time.
Explanation:
on edge2021! hope this helps!!~ (*~▽~)
The job outlook for a US postal worker is uncertain. While the postal service has been a long-standing and essential part of the United States infrastructure. Hence option D is correct
It has faced many challenges in recent years. The rise of digital communication and e-commerce has led to a decline in mail volume, and the postal worker has struggled to stay financially solvent. Additionally, there have been ongoing debates about the need for postal service , which could have a significant impact on the workforce.
That being said, the USPS still employs over 500,000 workers and is a vital part of many communities. While there may be some fluctuations in job availability,postal worker is unlikely that the career will disappear entirely postal service
As the postal service continues to adapt to changing technology and consumer needs, there may be opportunities for growth and innovation within the industry. Ultimately, the job outlook for a US postal worker will depend on a variety of factors and may vary from region to region.
Thus option D is correct .
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Hale’s TV Productions is considering producing a pilot for a comedy series in the hope of selling it to a major television network. The network may decide to reject the series, but it may also decide to purchase the rights to the series for either one or two years. At this point in time, Hale may either produce the pilot and wait for the network’s decision or transfer the rights for the pilot and series to a competitor for $100,000. Hale’s decision alternatives and profits (in thousands of dollars) are as follows:
State of Nature
Decision Alternative
Reject, s1
1 Year, s2
2 Years, s3
Produce pilot, d1
-100
50
150
Sell to competitor, d2
100
100
100
The probabilities for the states of nature are P(s1) = 0.20, P(s2) = 0.30, and P(s3) = 0.50. For a consulting fee of $5000, an agency will review the plans for the comedy series and indicate the overall chances of a favorable network reaction to the series. Assume that the agency review will result in a favorable (F) or an unfavorable (U) review and that the following probabilities are relevant:
P(F) = 0.69
P(s1 | F) = 0.09
P(s1 | U) = 0.45
P(U) = 0.31
P(s2 | F) = 0.26
P(s2 | U) = 0.39
P(s3 | F) = 0.65
P(s3 | U) = 0.16
Construct a decision tree for this problem.
What is the recommended decision if the agency opinion is not used? What is the expected value?
Answer:
To construct the decision tree, we can follow these steps:
1. Start with the initial decision nodes representing the two decision alternatives: "Produce pilot" (d1) and "Sell to competitor" (d2).
2. Assign the payoffs for each decision alternative under each state of nature.
3. Add chance nodes for each state of nature and connect them to the corresponding decision alternatives.
4. Assign the probabilities of each state of nature at the chance nodes.
5. Calculate the expected payoffs at each chance node by multiplying the payoffs with their respective probabilities and summing them up.
6. Determine the optimal decision by comparing the expected payoffs at the initial decision nodes.
Here is the decision tree for this problem:
| Produce pilot (d1)
| -100
|____________
/|\
/ | \
/ | \
/ | \
P(F) = 0.69 / | \ P(U) = 0.31
/ | \
/ | \
/ | \
/ | \
s1 / | \ s2
/ | \
/ | \
/ | \
/ | \
/ | \
50 | F U F | 100
| |
| |
| |
| s3 | s3
| |
150| F | 100
|_______________________________|
If the agency opinion is not used, the recommended decision would be to produce the pilot (d1) since it has a higher expected value compared to selling to the competitor (d2).
To calculate the expected value:
Expected value (d1) = (-100 * P(s1 | F) * P(F)) + (50 * P(s2 | F) * P(F)) + (150 * P(s3 | F) * P(F))
= (-100 * 0.09 * 0.69) + (50 * 0.26 * 0.69) + (150 * 0.65 * 0.69)
= -6.93 + 8.97 + 66.88
= 68.92
Expected value (d2) = (100 * P(s1 | U) * P(U)) + (100 * P(s2 | U) * P(U)) + (100 * P(s3 | U) * P(U))
= (100 * 0.45 * 0.31) + (100 * 0.39 * 0.31) + (100 * 0.16 * 0.31)
= 13.95 + 12.09 + 4.96
= 30
Comparing the expected values, the recommended decision is to produce the pilot (d1) with an expected value of 68.92.
Munyah Ltd. is an expanding company and the following accounts relate to its operations for the years 1999 and 2000
How can you avoid spending more than what is in your
bank account?
Check your bank statement once a month.
Ask your financial institution to notify you when you
are close to $0 in your account.
Keep your own records to compare with your
financial institution's records.
None of the above
Answer:
Check your bank statement once a month.
Ask your financial institution to notify you when you are close to $0 in your account.
Keep your own records to compare with your financial institution's records.
Explanation:
The three statements above represent ways that can be used to avoid spending more than what is in one's bank account.
Cheking one's bank statement once a month is the most effective method: by doing so, one can get informed about the exact amount of money left in the account.
Asking one's financial institution to notify you when you are close to $0 is also a good measure, although it could be dangerous to depend on that warning in case one has a tendency to overspend, and the notification comes too early in the month.
Finally, keeping personal records to compare with the records of the bank is more like a learning excercise, that also helps, but it is less effective because it is the bank record that will be right all of the time.
Answer: check your bank statement once a month
Explanation:
Ataxia Fitness center is considering an investment in some additional weight training equipment. The equipment has an estimated useful life of 10 years with no salvage value at the end of 10 years. Ataxia's internal rate of return is 14%. It's discount rate is also 14%. The payback period on this equipment is closest to:___________.
a. 2.70 years
b. 1.90 years
c. 5.22 years
d. 3.70 years
Answer:
6.71 years
Explanation:
Solution
Recall that,
Ataxia Fitness center has an equipment with a useful life estimated to be = 10 years
No Savage value at the end of = 10 years
Internal rate of return of equipment = 8%
rate of discount = 8%
Now,
From the Exhibit 13B-1 and Exhibit 13B-2,
Let the initial outlay be $50000
The present value of inflows at irr be =present value of outflows.
let value of present annuity=Annuity[1-(1+interest rate)^-time period]/rate
Thus,
Be entering the values we get
Annuity[1-(1.08)^-10]/0.08 =50000
5000 =Annuity[1-(1.08)^-10]/0.08
50000=Annuity*6.710081399
Annuity=50000/6.710081399 = =$7451.474435
So, the period of payback =initial outlay/annual cash flows
=(50000/7451.474435)
=6.71 years
Therefore the pay back period on this equipment is = 6.71 years
Which of the following describes the tax advantage of a qualified retirement plan
Answer:
Qualified retirement plans give employers a tax break for the contributions they make for their employees. Those plans that allow employees to defer a portion of their salaries into the plan can also reduce employees' present income-tax liability by reducing taxable income.
Provides a way to accumulate substantial retirement income.
Those are some reasons, hope they helped!!
Explanation:
4. What was the closing price of the corporation on July 26th?
The closing price of a security, such as a stock or a commodity, is the final price at which it was traded on a particular trading day. The calculation of the closing price depends on the market in which the security is traded.
What is closing price?If you have access to the historical data of the security, you can easily calculate the closing price by finding the last recorded price of the security on a given trading day. Many financial websites and data providers offer this information in their daily summary of a security's trading activity.
However, if you are looking to calculate the closing price in real-time, you can use a real-time data provider that offers the latest market quotes for the security you are interested in. The closing price is usually determined at the end of the trading day, which varies depending on the market and the security being traded.
In general, to calculate the closing price of a security, you need to find the last traded price of the security for the day. This information can be obtained from various sources, such as stock exchange websites, financial news websites, or real-time data providers. Once you have this information, you can use it to calculate the closing price of the security for that particular trading day. An overview was given.
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Changes in the market environment impact _____
how competitive the marketplace is
how many offerings are available
how many marketing communication channels are used
how consumers behave
Changes in the market environment impact how competitive the marketplace is, how many offerings are available, how many marketing communication channels are used, and how consumers behave.
Aspects of the business landscape are significantly impacted by changes in the market environment. First and foremost, they have an impact on the level of market competition because changes in variables like technology, rules, and consumer preferences can affect how businesses compete with one another.
Changes in the market environment can also have an impact on the variety and range of goods and services that are offered to customers. New technologies and trends have an impact on how businesses communicate with their target audiences through marketing channels. Last but not least changes in the market environment such as those in the economy in social trends and in technological advancements have a significant impact on consumer behavior causing changes in buying patterns and preferences.
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The inventory valuation method that results in the lowest taxable income in a period of inflation is:________
s. LIFO method.
b. FIFO method.
c. Weighted-average cost method.
d. Specific identification method.
e. Gross profit method.
Answer:
A
Explanation:
LIFO means last in first out. It means that it is the last purchased inventory that is the first to be sold.
Inflation refers to a persistent rise in general price levels.
In a period of inflation, cost of inventory keep rising. So, the most recently purchased inventory would have the highest price. The LIFO method would result in a higher cost of good sold and this depresses profit and also leads to a lower taxable income
Those with a ________ personality identify opportunities, show initiative, take action, and persevere until meaningful change occurs, compared to others who passively react to situations. Select one: a. high Mach b. high self-monitoring c. proactive d. type A
Answer:
The correct answer is letter C
TrustedHelperdifference between white collar job and blue collar job?
Answer:
Kindly check explanation
Explanation:
White and blue collar jobs are usually differentiated in terms of the job setting or environment in which each group of job is undertaken. The white collar jobs are job categories whereby staffs often work in offices such that most of the duties performed are on computers or writing. This may include ; banking, clerical and administrative jobs and other related job fields.
Blue collar jobs in the other hand could be described as being less formal as it Involves most of the business or trade related job types whereby individuals could be seen undergoing laborious jobs. This jobs may be skilled or unskilled and the job types include cost uctjoj workers, artisans, mechanics, electctricians and so on.
Blue collar jobs cannot keep the sort of tidy outlook white collar job do keep due to the nature of their work. Hence, this palys a role in the name given as blue clothes are often more accommodation of dirt or stain than white garments.
Identify the stage of the new product development based on the given scenario.
Sam has designed a new revolutionary product for his company. Right now, he and his team members are evaluating the total cost involved in producing the product, the profit margin, and the manufacturing costs.
The stage of new product development that they are involved in right now is____.
Answer:
Business analysis
Explanation:
edmentum
Three major factors of production are natural, human, and capital resources. Which of the following groups best illustrates these three factors?
O Iron ore, teachers, and trucksO Iron ore, capital, and trucksO Iron ore, teachers, and capitalO Iron ore, teachers, and resources
The correct option is Option C.
What are the factors of production? Factors of production refer to the economic resources required to produce goods and services. Land, labor, capital, and entrepreneurship are the four fundamental factors of production. The natural resources used in the manufacturing process are known as land. Labor is the sum of all physical and mental effort put into creating goods and services. Capital refers to the tools, machines, and other equipment required to manufacture goods and services. Finally, entrepreneurship refers to the willingness to take on the risks involved in establishing and operating a business.
The group that best illustrates the three factors of production: natural, human, and capital resources iron ore, teachers, and capital. This is because Iron ore is a natural resource that is required for the production of iron and steel. Teachers are examples of human resources who play an important role in ensuring that the workforce is skilled enough to produce quality goods and services. Capital resources refer to the machines, tools, and other equipment that are used in the production of goods and services.
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Question 20 (2 points)
Using the high-low method, what are the fixed and variable costs if the high sales
revenue is $160,000 with total costs of $90,000, and the low sales revenue is
$96,000 with total costs of $58,000. What is the fixed cost and the variable
percentage per dollar of sales revenue?
$9,750 fixed and 32.5% per dollar of sales revenue
$10,000 fixed and 50.0% per dollar of sales revenue
$6,750 fixed and 32.5% per dollar of sales revenue
$4,240 fixed and 56.0% per dollar of sales revenue
The fixed cost and the variable percentage per dollar of sales revenue Option B. $10,000 fixed and 50.0% per dollar of sales revenue.
To determine the fixed and variable costs using the high-low method, we start by identifying the difference between the high and low sales revenue and the corresponding total costs.
High sales revenue: $160,000
Total costs at high sales revenue: $90,000
Low sales revenue: $96,000
Total costs at low sales revenue: $58,000
Next, we calculate the difference in sales revenue and total costs:
Change in sales revenue = $160,000 - $96,000 = $64,000
Change in total costs = $90,000 - $58,000 = $32,000
The fixed cost can be obtained by subtracting the variable cost component from the total costs at either the high or low sales revenue. Let's use the high sales revenue figures:
Fixed cost = Total costs at high sales revenue - (Variable cost per dollar of sales revenue * High sales revenue)
Fixed cost = $90,000 - (Variable cost per dollar of sales revenue * $160,000)
Using the information provided, we can solve for the variable cost per dollar of sales revenue:
Change in total costs = Variable cost per dollar of sales revenue * Change in sales revenue
$32,000 = Variable cost per dollar of sales revenue * $64,000
Variable cost per dollar of sales revenue = $32,000 / $64,000 = 0.5 or 50.0%
Now, substituting this value back into the equation for fixed cost:
Fixed cost = $90,000 - (0.5 * $160,000)
Fixed cost = $90,000 - $80,000 = $10,000
Therefore, the correct answer is option B: $10,000 fixed cost and 50.0% per dollar of sales revenue.
The question was incomplete, Find the full content below:
Question 20 (2 points)
Using the high-low method, what are the fixed and variable costs if the high sales revenue is $160,000 with total costs of $90,000, and the low sales revenue is $96,000 with total costs of $58,000? What is the fixed cost and the variable percentage per dollar of sales revenue?
A. $9,750 fixed and 32.5% per dollar of sales revenue
B. $10,000 fixed and 50.0% per dollar of sales revenue
C. $6,750 fixed and 32.5% per dollar of sales revenue
D. $4,240 fixed and 56.0% per dollar of sales revenue
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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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Which of the following explains why businesses often use graphics
to warn workers of dangerous situations?
Answer:
There are no options listed, but a can cite a few reasons why companies use graphic signs:
statistically, the number of work related injuries decrease as the level of safety signage increases. visual signs are extremely effective ways of communicating, and when it comes to dangerous activities, their effectiveness increases. people tend to pay more attention to graphic signs than to written signs, that is the same reason why signs and logos are placed outside a company in order to identify it.graphic signs are very easy to recognize and associate. graphic signs do not need further or complex explanations, i.e. a picture is worth more than 1,000 words.and a long list of etc.
Volatile price changes, technological changes, and government intervention are what type of risks?
Volatile price changes, technological changes, and government intervention are external risks that can impact a company's operations and performance.
What are Volatile price changesVolatile price changes refer to fluctuations in input or product prices, which can affect profitability and cost structure. Technological changes can introduce advancements or disrupt an industry, requiring companies to adapt to avoid becoming obsolete.
Government intervention, through regulatory changes or policies, can create uncertainties and challenges for companies, affecting operations, costs, and market access.
To mitigate these risks, companies should implement risk management strategies such as diversification, contingency planning, staying informed about market trends, investing in R&D, and engaging with government stakeholders.
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