Answer:
Household and government are related to each other in terms of economic unit. Household pay taxes to government and then government use that money for the people. Household earn the money by working in firms or by running their own business.
Environmental issues such as air pollution can affect the relationship between household and government. Popleuses their own transport to go to firms and the number of vehicles are increasing day by day which causes air pollution.
The government can form policies against personal transport and convince people to use public transport which will be beneficial for government as government will directly get money from household.
Answer:
2.5 and 25%
Explanation:
Given that,
Total contribution margin = $61,250
Net income = $24,500
Expected increase in sales volume = 10%
Degree of operating leverage:
= Total contribution margin ÷ Net income
= $61,250 ÷ $24,500
= 2.5
Percent change in income for Macom Manufacturing:
= Percentage change in sales × Degree of operating leverage
= 10% × 2.5
= 25%
Answer:
D. Selling expenses do not affect the gross margin, but the increase in such expenses will decrease the other margins.
Explanation:
As Selling expenses are charged after gross Income or profit. So, it will not effect the gross income / profit. Other margin are calculated after adjusting the selling expenses, so that will be effected. Operating Margin and Net profit margin are both effected by change in the selling expenses.
Following is the Format of income statement
Sales
Less: Cost of Sales
Gross income / Profit
Less: Operating expenses
Admin Expenses
Selling Expenses
Other Expense
Operating Income / Profit
Less: Interest expense
Less: Tax
Net Income / Profit
Answer:
The gain is subtracted from net income in the operating activities section
Explanation:
Given that
Sale value of an equipment = $230,000
And, the gain on the sale = $45,000
So by considering the above information
We can say that the Sale value of an equipment is shown in the investing activities as a cash inflow while the gain on the sale is to be subtracted from the net income in the operating activities and if there is a loss than it would be added to the net income
Answer:
$34.8
Explanation:
Profits = sales - costs( variable costs +fixed costs)
In this case : total sales will be price $0.75 x units sold X= 0.75X
Variable costs : =$10 x units sold= $10x
Fixed cost remain $25 as they are not affected by quantity.
profits for the Week
P= (0.75x- 0.10x)-$25
Profit for the week with units sold as 92: x = 92
p= ( {0.75x92} - {0.10x92} )- $25
P= $69 - $9.2- $25
P=$59.8- $25
=$34.8
