Investors should be supplied with unique information when purchasing mutual funds.
When has a retail patron used a recommendation?A retail client “uses” a suggestion when, as a end result of the recommendation: (1) the retail customer opens a brokerage account with the broker-dealer, regardless of whether or not the broker-dealer receives compensation; (2) the retail client has an present account with the broker-dealer and receives a recommendation
The Securities and Exchange Board of India (SEBI) is a regulatory body that protects the interests of those who make investments in the securities market. It additionally regulates the functioning of the stock markets and mutual money in the u . s . a .
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https://brainly.com/question/28800894#SPJ4super-tee has a contribution margin of 25%. how many t-shirts (rounded to the nearest shirt) must be sold in order for the company to break even?
1) Contribution margin = Selling price per shirt - Direct materials per shirt - Direct labor per shirt - Variable overhead per shirt
= $16 - $5.75 - $1.25 - $0.6
= $8.4
The answer is d.
2) Contribution margin per unit = Selling price per shirt * 25%
= $16 * 25%
= $4
T-shirts to be sold = Fixed overhead / Contribution margin per unit
= $43,000 / $4
= 10,750
The answer is b.
3) Shirts to be sold = (Fixed overhead + Target profit) / Contribution margin per shirt
= ($43,000 + $20,000) / $5
= 12,600
The answer is c.
4) Income from operations = (Sales * Contribution margin ratio) - Fixed costs
= ($2,000,000 * 20%) - $100,000
= $300,000
The answer is a.
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boron company has sales of $60,000, beginning inventory of $7,000, purchases of $35,000, and ending inventory of $5,000. the cost of goods sold is
The cost of goods sold is $37,000.
A periodic inventory system is a form of inventory valuation in which inventory accounts are updated at the end of the accounting period rather than after each sale or purchase. The cost of goods sold is the total amount paid by a company for expenses directly related to the sale of its products.
Some businesses may include direct labor associated with manufacturing or selling products raw materials packaging and merchandise purchased for resale. Adjusts the cost of crafted or purchased items as your inventory changes. For example, if 500 units were manufactured or purchased but the inventory was increased by 50 units the cost of 450 units would be the manufacturing cost of the goods sold.
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if the (e.u.) imposes a quota limiting imports from the united states, what will happen to the market for euros and the exchange rate for the euro?
If the (E.U.) imposes a quota limiting imports from the united states, Supply of the euro decreases; the euro appreciates to the market for euros and the exchange rate for the euro.
An exchange rate in the world of finance is the price at which one currency will be exchanged for another. The majority of the time, currencies are national ones, but they can also be supra-national ones like the euro or sub-national ones like Hong Kong.
Decisions made by people, corporations, and the government are impacted by changes in the currency rate. This has an impact on the balance of payments, inflation, and economic activity overall. Exchange rates can be calculated in a variety of ways.
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what suggestion has former lieutenant governor bob bullock made to help avoid further fiscal crises?
The suggestion that former Lieutenant Governor Bob Bullock has made to help avoid more fiscal crises is to expand the sales tax base
What is a fiscal crisis?This occurs when the deficit in public finances clearly exceeds 3 percent of GDP, with a negative trajectory, that is, a growing deficit over time and their ability to collect enough taxes for that spending. The governments can increase their spending by including among their responsibilities other functions, such as social programs, subsidies, guaranteed prices, and the like.
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The Federal Reerve decide to ell $50 million in government debt to houehold paying with checkable depoit. The current reerve requirement i 5%
The reserve ratio is the percentage of reservable liabilities that commercial banks must retain and not lend or invest. The country's central bank—in the US, the Federal Reserve—determines this requirement. The term "cash reserve ratio" is also used to describe it.
What Does the Reserve Ratio ?One of the Federal Reserve's main tools for monetary policy is the reserve ratio. To increase the amount of money available in the economy, the Fed may decide to reduce the reserve ratio. Borrowing becomes more appealing to customers when banks have more money to lend at lower interest rates.In contrast, the Fed raises the reserve ratio requirement to cut down on the amount of money that banks must lend. By slowing the economy, the Fed can lower the amount of money in circulation and reduce inflation.The Fed also establishes reserve ratios to make sure banks have cash on hand to avoid running out of money in the event of frantic depositors requesting large-scale withdrawals. If a bank lacks the money to meet its reserve requirement, it may borrow money from the Fed to do so.Banks are required to store reserves either as cash in their safes or as deposits with a Federal Reserve Bank. The Federal Reserve started giving banks interest on these reserves on October 1, 2008.This rate was known as the interest rate on required reserves. There was also an interest rate on excess reserves (IOER), which is paid on any funds a bank deposits with the Federal Reserve in excess of their reserve requirement. The interest on reserve balances, a new, more straightforward measure, took the place of the IORR and IOER on July 19, 2021.The IORB rate is 0.10 percent as of 2022.To Learn more About reserve ratio refer To:
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assume that jessie and lester have formed a contract whereby jessie agrees to deliver 10,000 dozen grade a large eggs to be shipped in paper cartons. a shortage of paper makes paper cartons much more expensive, so jessie uses styrofoam cartons and ships the eggs. lester is entitled to cancel the contract based on a material breach of the contract. t or f
False, Lester is entitled to cancel the contract based on a material breach of the contract.
What did you mean by contract?A contract is an agreement between parties, creating mutual obligations that are enforceable by law. The basic elements required for the agreement to be a legally enforceable contract are: mutual assent, expressed by a valid offer and acceptance; adequate consideration; capacity; and legality.
What is contract with example?A promise by one party to another that they will or will not perform a specific action in the future. Example: I will pay you $3,500 for the purchase of your vehicle. Acceptance . Usually mirrors the terms of the offer—an expression, through words or deeds, that both parties agree to the terms of the contract
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3. Describe the advantages of vegetative propagation.
Answer:
Explanation:
advantages of vegetative propagation ;
1. seedless plants can be propagated
2. It produces plants quickly
3. Desirable character of fruit can be produced
kevin is offered a job at another company that interests him, but he decides to stay where he is because he has a strong bond with his manager. steve, on the other hand, is also offered another job and decides to take it because he does not like the way his manager treats people and has a low trust in him. kevin staying is an example of
Kevin is a case of bridge employment since, in accordance with the provided statement, he is offered a position at a different firm that piques his interest.
What is a company's straightforward definition?A corporation is a legal body formed by a number of people to conduct and manage a business venture, whether it be industrial or agricultural. Depending on the corporations act of its country, a corporation may be set up in a variety of ways for taxes and financial responsibility reasons.
Is it a business or a company?A legitimate business title is the name that a venture uses, which is the main distinction here between company and a business name. But a business name is a separate legal entity.
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The complete question is-
Kevin is offered a job at another company that interests him, but he decides to stay where he is because he has a strong bond with his manager. Steve, on the other hand, is also offered another job and decides to take it because he does not like the way his manager treats people and has a low trust in him. Kevin staying is an example of
a. bridge employment
b. management driving retention
c. boomeranging
d. employability
if sales on an accrual basis are $500,000 and accounts receivable increased by $30,000, the cash received from customers would be:.
Customers would pay $530,000 in cash if sales on an accrual basis were $500,000 and accounts receivable climbed by $30,000.
How is the accrual basis applied?The accrual basis is a system of accounting transactions that records income as it is received and expenses as it is incurred. The use of provisions for sales returns, bad debts, and inventory obsolescence that are made before such occurrences occur is required by the accrual basis.
The accrual basis of accounting serves what purpose?Accrual accounting presents a more accurate and up-to-date picture of a company's financial situation. Credit cards or later invoicing are used to complete many financial transactions. When a good or service is provided, accrual accounting records these upcoming payments (paid or received).
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calculate the proportions of debt (d/v) and equity (e/v) that you would use for estimating vinyard's weighted average cost of capita
The proportions of debt (d/v) and equity (e/v) that you would use for estimating Vinyard's weighted average cost of capita is 25% debt and 75% equity.
What is debt?⇒ An obligation to pay money or another agreed-upon value to a third party, the creditor, is known as a debt. Debt differs from an immediate purchase in that payments are deferred or made in installments. A sovereign state or nation, a local government, a business, or an individual may be liable for the debt. Contractual provisions governing the sum and schedule of principle and interest repayments often apply to commercial debt. Debt includes mortgages, bonds, notes, and loans. Debt is a form of financial transaction that is separate from equity in financial accounting. The phrase can also be used metaphorically to refer to duties of a moral nature and other interactions without a monetary exchange.
Calculation:
Weighted Average Cost of Capital is calculated by either Book Value weights or Market Value Weights.
Market Value weight is considered good to calculate WACC.
Hence correct answer is 25% debt and 75% equity
Debt Market Value weight = 1,000 / 4000 = 0.25
Equity Market Value Weight = 3,000 / 4,000 = 0.75
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Disclaimer: The question was given incomplete on the portal, here is the complete question.
Question: calculate the proportions of debt (d/v) and equity (e/v) that you would use for estimating Vinyard's weighted average cost of capital(WACC):
a.40% debt and 60% equity
b.50% debt and 50% equity
c.25% debt and 75% equity
d.75% debt and 25% equity
While preparing a budget, there are some estimates that must be made more than a year in advance. This particular aspect is not considered while preparing a _____.
While getting ready a price range, there are a few estimates that ought to be made extra than a 12 months in advance. This precise component isn't always taken into consideration even as getting ready a unmarried duration price range.
The required details for budget period in given paragraph
Organizations in the Department of Health and Human Services use a way of investment for discretionary presents that divides an accredited mission into investment intervals known as price range intervals. The price range duration is the time period at some point of that you are legal to spend the finances offered and ought to meet the matching or fee-sharing requirement, if any, and is proven within side the Notice of Grant Award. Costs might not be incurred after the finishing date of the modern price range duration until you get hold of extra investment within side the shape of a non-competing continuation award for the subsequent price range duration or, in case you are within side the closing price range duration of the accredited mission duration, thru a no-fee extension. ONC made Recovery Act awards the use of diverse methods to defining the price range duration, which includes price range intervals which might be of the identical period because the mission duration.
For any price range duration with an finishing date that differs from the finishing date of the mission duration, you ought to get hold of ONC approval to hold over unobligated Federal finances to the subsequent price range duration.
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while product placement blurs the line between advertising and content, immersive advertising completely erases the line. a. true b. false
On the other hand, a product placement is a part of a story that already exists. You are not watching a product placement for the product itself, but rather for the story it is part of, unlike an advertisement.
Every piece of modern media is partially funded by sponsors, all of whom want to include their products or names in the story.
In advertising, what is product placement?
Product placement is a cutting-edge method of merchandising used by brands to reach their intended audiences without employing traditional overt advertising. Product placement is also known as embedded marketing because the product is embedded in another type of media.
Which three kinds of product placement exist?
There have traditionally been three primary types of product placement: placement of the screenplay, script, and plot.
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Please select the word from the list that best fits the definition this invisible barrier prevents a woman from gaining upper-level positions in business.
The term "glass ceiling" describes the imperceptible barrier that keeps women from advancing to senior positions in business.
What is Glass ceiling?The phrase "glass ceiling" describes a figurative invisible wall that keeps some people from getting promoted to management and executive-level positions within a company or sector. The expression is frequently used to describe the challenges minorities and women encounter while attempting to advance in a male-dominated business hierarchy.
These people are more likely to be prevented from succeeding through accepted norms and unconscious prejudices than through clearly specified business regulations since the obstacles are most frequently unwritten. The metaphor of the "glass ceiling" alludes to the difficulty minorities and women, in particular, have in advancing their careers.
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a company had average total assets of $907,000. its gross sales were $1,087,000 and its net sales were $990,000. the company's total asset turnover equals:
Given that the company had average total assets of $907,000, gross sales were $1,087,000 and its net sales were $990,000. the company's total asset turnover equals 1.09.
What Is the Asset Turnover Ratio?In accounting, asset turnover refers to a ratio that measures the value of a company's revenues relative to the value of its assets. It is used as an indicator of the efficiency with which a company is using its assets to generate revenue.
The higher the ratio of asset turnover , the more efficient a company is at generating revenue from its assets. However, when a company has a low asset turnover ratio, it indicates it is not efficiently using its assets to generate sales.
The Asset Turnover ratio:
= $990,000 / $907,000
= 1.09
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question subjective decisions are based on a person's unique values and beliefs. which statement about economic decisions is true? responses they vary from person to person. they vary from person to person. they can be reduced to utility preferences. they can be reduced to utility preferences. they follow a personal production frontier. they follow a personal production frontier. they are always based on monetary considerations.
They follow personal production frontier is true statement about the economic decisions.
What is production?A final product is created through blending of several inputs, both material and intangible. Ideally, this output will be good or service that makes people's lives more useful. The manufacturing process and the outcomes are intimately related to how well initial inputs are used. Land, labor, and capital—also known as primary producers of goods and services—are three main factors in production. In-depth analysis reveals that all utilized resources, including land, which comprises the natural resources on and beneath the soil, are considered fundamental components. Labor, however, is not the same as human capital. In some cases, in addition to the traditional forces of production, entrepreneurship and technology are seen as emerging aspects in the production process.
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which type of insurance protects your ability to earn income? multiple choice life car disability income liability home and property
Answer: The most valuable asset you have is the ability to make a living. Insurance against incapacity is among the finest strategies to safeguard it. It serves as paycheck insurance, in a sense. When a sickness or injury prohibits you from working and making a livelihood, disability insurance pays you a portion of your income.
Explanation: What sort of coverage safeguards your income?
You can purchase income protection insurance, just like you would for your car or house. Disability insurance can help you replace some of your income if you get sick or hurt and can't work. Medical insurance pays your physician, and disability insurance compensates you.
Income protection – is it an insurance?
Typically, Salary Protection is a monthly payment that covers approximately 75% of your income, while
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Type of insurance that protects your ability to earn income is : disability insurance.
What is the meaning of disability insurance?
Your ability to earn a living is your most important asset and one of the best ways to protect it is with disability insurance. It is an insurance for your paycheck. Disability insurance provides a percentage of your income if an illness or injury prevents you from working or earning a living.
Disability Insurance is also called DI or disability income insurance, or income protection. it is a form of insurance that ensures the beneficiary's earned income against risk that disability creates barrier for completion of core work functions.
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after signing a lease agreement, a company records a right-of-use asset and a liability on the balance sheet that is equal to the present value of the lease payments. what type of lease has the company signed?
The execution of a lease, a business adds a right-of-use asset and a liability to the balance sheet that are each equal to the present value of the lease payments. Calculations of lease payments should take into account bargain purchasing opportunities.
Where does right of use asset go on balance sheet?For a lease to be considered a sales-type lease, it must fulfill the following requirements. It is likely that the lessee will make the required payments.
The guaranteed residual value should not be included in the lease liability by the lessee. The lease should be identified as an operational lease for accounting purposes. cheap purchase choices, executory fees, upfront direct expenses, and brief leases.
For operating leases, a right-of-use asset and lease obligation are both represented as independent line items on the balance sheet in accordance with ASC 842. The difference between the cash paid for leases and the straight-line lease expense will often be represented by the combined change of the two accounts.A lessee's right to use an asset for the duration of a lease is known as a right-of-use asset.
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mno high yield bond fund has a public offering price (pop) of $120 per share and a net asset value (nav) of $116.40. what is the fund's sales charge (sc)?
The fund's sales charge, given the Public Offering Price, and the Net Asset Value ( NAV), is $ 3. 60 per share
How to find the Fund Sales Charge ?A sales charge is a commission that investors give to the financial intermediary, like a broker, financial planner, or investment advisor, in exchange for their mutual fund investment. This additional charge, which is indicated as a percentage of the investment value, is used to compensate the salesperson.
The Fund Sales Charge for MNO's High Yield Bond Fund is therefore:
= Public offering price per share - Net Asset Value
= 120 - 116. 40
= $ 3. 60 per share
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what is the current value of a $5,000 face value strips with 6 years to maturity and a yield to maturity of 8.1%?
FACE VALUE STRIPS: 5000
YTM:8.1%/2= 4.05%
TIME TO MATURITY:6*2
CURRENT VALUE:$3105.02
mary anne (35) has two dependent children, jackson (17) and mabel (4). they lived in the u.s. all year. she earned $16,684 wages in 2021. she had no other income and no adjustments. she is filing head of household. she has no tax liability. what is the amount of child tax credit (ctc) she can receive? $4,000. $6,600. $6,000. $3,600
The amount of child tax credit that Mary Anne can receive in 2021, can be found to be B. $ 6, 600
What is the Child Tax Credit ?Dollar per dollar, the Child Tax Credit reduces taxpayers' tax obligations. The maximum yearly credit under the American Rescue Plan was raised from $2,000 per kid (under age 17) in 2020 to $3,000 per child (under age 18) or $3,600 (children younger than 6), and the 2021 credit was made completely refundable.
This means that the Child Tax Credit to Mary Anne for Mabel who is 4 years old is $ 3, 600. The CTC for Jackson at 17 would be $ 3, 000.
The total child tax credit is therefore :
= 3, 600 + 3, 000
= $ 6, 600
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Wal-Mart is an example of a(n) ______ because it is a business with operations in multiple countries.
dual partnership
multinational organization
international partner
multinational corporation
Wal-Mart is an instance of a multinational agency.
The required details for Wal-Mart in given paragraph
Walmart Inc. is an American multinational retail agency that operates a sequence of hypermarkets (additionally known as supercenters), discount branch shops, and grocery shops from the United States, founded in Bentonville, Arkansas. The enterprise turned into based by Sam Walton in nearby Rogers, Arkansas in 1962 and integrated below Delaware General Corporation Law on October 31, 1969. As of October 31, 2022, Walmart has 10,586 shops and golf equipment in 24 countries, running below forty six different names. The enterprise operates below the call Walmart within side the United States and Canada, as Walmart de México y Centro América in Mexico and Central America, and as Flipkart Wholesale in India. It has thoroughly owned operations in Chile, Canada, and South Africa. Since August 2018, Walmart held simplest a minority stake in Walmart Brazil, which turned into renamed Grupo Big in August 2019, with 20 percentage of the enterprise's shares, and personal fairness firm Advent International protecting eighty percentage possession of the enterprise.
They in the end divested their shareholdings in Grupo Big to French retailer Carrefour, in transaction worth R$7 billion and finished on June 7, 2022.
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Some private schools request greater financial detail by asking you to fill out a ________.
A. financial aid letter
B. CSS Profile
C. loan application
D. Student Aid Report
Answer:
CSS profile
Explanation:
1. compute total variable cost per unit. 2. compute total fixed costs. 3. prepare a flexible budget at activity levels of 12,000 units and 16,000 units.
Total Variable cost per unit Direct materials($336,000/14,000) $ 24.00 Direct labor($588,000/14,000) $ 42.00 Indirect materials($392,000/14,000) $ 28.00.
What are a variable cost and an example?Costs that vary as the volume changes are known as variable costs. Raw materials, piece-rate labor, production supplies, commissions, shipping charges, packing costs, and credit card fees are examples of variable costs. The variable costs of manufacturing are sometimes referred to as "Cost of Goods Sold" in accounting accounts.
What exactly are fixed expenses and variable costs?Expenses that remain constant regardless of how much product a company produces are referred to as "fixed costs." A cost is said to be "variable" if it changes in response to shifts in production levels.
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Holding current assets constant, an increase in current liabilities will decrease the current ratio True or False
Answer:
true
Explanation:
Holding current assets constant, an increase in current liabilities will decrease the current ratio, is the true statement.
What is current ratio?Understanding current ratios. The current ratio calculates how well a company is able to cover its short-term or current liabilities, such as debts and payables, with its cash, inventory, and short-term receivables.
A healthy current ratio is normally between 1.5 and 2, but it occasionally depends on the sector of the economy in which your business operates. A corporation can use a current ratio to determine whether it has enough cash flow, should the need arise, to cover its immediate responsibilities and debts.
Current assets and liabilities are equal for a corporation with a current ratio of 1.0. Although it differs from sector to sector, the average current ratio falls between 1.0 and 3.0.
Thus, the true statement.
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lean emphasizes all of the following except a. setup time reductions. b. cross training of workers. c. lot size reduction. d. increased utilization of machines.
Lean emphasizes increased utilization of machines.
Thus, the correct option is D.
What are machines?The producer benefits from using machines in numerous ways, which tends to improve his output and income.
Large-scale production, the division of labor, and specialization are the results. These in turn boost output, cut expenses, and improve profits. Machines reduce labor and save time.
Robotics use in business can result in more high-skilled job opportunities. It will raise productivity at work and assist employers in maximizing staff working hours.
Additionally, it will support and permit overall economic growth and, in challenging times of inflation, even boost its GDP. A machine's primary function is to facilitate human activities such as lifting and transporting large objects.
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if the static budget amount is $6,200 and the flexible budget amount is $4,500, then sales volume variance will be
If the static budget amount is $6,200 and the flexible budget amount is $4,500, then sales volume variance will be $1,700.
The sales volume variance is a measure of the difference between the actual and anticipated number of units sold, multiplied by the planned price per unit. By calculating the gap between actual and budgeted sales volume, professionals can gain insight into the effectiveness of their sales efforts.
They can look at their actual and planned sales volumes, average profit, revenue per unit, and contribution per unit to get a better idea of how successful their sales strategies have been. A favorable sales price variance indicates that the selling price was higher than expected, which could be the result of fewer competitors, strong sales and marketing efforts, or better product differentiation.
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Sales, purchasing, and shipping documents are all considered examples of to an accounting system.
a. True
b. False
Sales, purchasing, and shipping documents are all considered examples of to an accounting system.
The above statement is True.
What do you mean by sale?
In a contract for the sale of goods, the seller transfers or promises to transfer the buyer's ownership of the products in exchange for payment, or the price. There could be a sale agreement between two co-owners. A selling agreement may be either unconditional or conditional.You might have an apple orchard with apples, for instance. You consent to selling a buyer 1000 apples once they are ripe. Although the sale of these commodities must take place in the future, the agreement has already been reached and the goods have been identified.To know more about Sale here
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when you retire, you want to have a million dollars saved. if you plan to retire in 40 years, and you can receive 5% interest annually on a savings account, what is the fixed amount you have to save each year?
You want to have $1,000,000 saved up for retirement. If you anticipate retiring in 40 years and are able to earn 5% interest per year on a savings account, the fixed amount is $8,278.
How do you calculate fixed rate?Total Cost of Production - Variable Cost Per Unit * Number of Units Produced equals Fixed Cost.Add up your variable costs and divide by the quantity of units you generated to get your total cost of production.
Regardless of the number of hours worked or an employee's performance, the fixed pay remains the same. Any sum equal to the set amount that the Issuer will pay the Swap Counterparty for that Payment Date under the terms of the Interest Rate Swap is referred to as a "Fixed Amount" for that Payment Date.
Even though it is grammatically valid to state a number of people, the amount of people is more frequently heard in everyday speech. Although it is often used, the number of persons is incorrect.
The complete question is
When you retire, you want to have a million dollars saved. If you plan to retire in 40 years, and you can receive 5% interest annually on a savings account, what is the fixed amount you have to save each year?
$8,278
$23,026
$14,836
$3,860
None of these answers
Therefore the correct answer is $8,278 .
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sale price per unit $420 variable costs per unit: manufacturing $260 marketing and administrative $40 total fixed costs: manufacturing $770,000 marketing and administrative $200,000 if a special sales order is accepted for 4,000 seats at a price of $375 per unit, fixed costs remain unchanged, and no variable marketing and administrative costs will be incurred for this order, how would operating income be affected? (note: assume regular sales are not affected by the special order.)
The operating income would be increased by $100,000.
What is income?Income is money received on a regular basis, typically from employment, investments, or other sources. It is an important factor in measuring an individual's or a family's financial status. Income can be used to pay for basic necessities such as food, housing, and clothing, as well as more discretionary items such as vacations and entertainment. Income is also a key factor in determining the amount of taxes owed to the federal and state governments. Generally, the higher the income, the higher the tax rate. Income is also an important measure of economic well-being, as it reflects an individual's ability to access goods and services.
This is because the special order will have a unit price of $375 per unit, while the regular sale price per unit is $420.
Thus, the total revenue from the special order will be $1,500,000 ($375 x 4,000 units).
The variable costs associated with this special order would be $1,040,000 ($260 x 4,000 units).
The difference between these two numbers is the operating income associated with the special order, which is $460,000. Since the total fixed costs remain unchanged, the additional operating income from the special order is $100,000 ($460,000 - $360,000).
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refer to the total utility curve in the accompanying graph to answer the questions. a graph with utis on the vertical axis and quantity of the good consumed on the horizontal axis. both axes run from 0 to 9. the graph contains one curve labelled as a total utility. between the quantities of 0 and 4, the total utility curve is rising at an increasing rate. between the quantities of 4 and 6, the total utility curve rises at a decreasing rate. after a quantity of 6, the total utility curve begins to fall. utility is maximized when how many units of the good are consumed?
A consumer's overall benefit from consuming a certain amount of a good or service is shown by the utility function. The utility is maximized when the following units of the good are consumed:
The slope of the utility function is determined by the marginal utility. It determines how much more value a consumer gets from consuming an extra unit of a good or service.
The utility is greatest when 6 units of the good are used.
The overall utility is maximized when the marginal utility is equal to zero. At the point of maximum utility, the slope of the utility function (marginal utility) equals zero. According to the graph above, the marginal utility at q = 5 units is equal to zero.
After the fifth unit is spent, the marginal utility of any additional units of the good is negative.
The client will consume five units before the marginal utility of each extra unit is negative.
The marginal utility diminishes once the fourth unit of the good is eaten.
when the overall utility rises with each additional unit of energy at a
When the overall utility increases at a slower pace with each additional unit of energy, it is said to have diminishing marginal utility. Disappearing marginal utility occurs when the overall utility rises with each additional unit of a good consumed at a decreasing pace. The accompanying image shows that once the fourth unit of the good is consumed, diminishing marginal utility becomes apparent.
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