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2 years ago

Three Point Sports Inc. manufactures basketballs for the Women's National Basketball Association (WNBA).

Business

1 answer:

Alexandra [31]2 years ago

6 0

Answer:

a) incremental analysis

normal selling price = $39 per ball

variable costs per unit:

variable COGS $22.82
variable S&A $2.18 + $0.77 = $2.95

special order for 10,000 balls at $28

<h2> <u>INCREMENTAL ANALYSIS</u></h2>

without special with special differential

order order amount

sales revenue $0 $280,000 $280,000

COGS $0 $228,200 $228,200

S&A expenses $0 $29,500 $29,500

Net income $0 $22,300 $22,300

b) The special order should be accepted because it increases operating profits by $22,300

c) current margin = $2.23 per ball

sales price to produce net income of $5.16 per ball = $28 + ($5.16 - $2.23) = $30.93 per ball

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Answer:

A key performance indicator of the customer perspective in a balanced scorecard is option C. number of repeat customers

Explanation:

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2 years ago

Which of the following statements is CORRECT? a. The advantage of the basic earning power ratio (BEP) over the return on total a

leonid [27]

Answer: The advantage of the basic earning power ratio (BEP) over the return on total assets for judging a company's operating efficiency is that the BEP does not reflect the effects of debt and taxes

Explanation:

a. This is correct.

The advantage of basic earning power ratio over the return on the total assets for judging a firm's operating efficiency is that the basic earning power does not reflect effects of debt and taxes.

b. This is incorrect.

Only the price/earnings ratio of the company will tell us nothing about a company. When we compare the price/earnings of a company with the peers, we would know whether such company is under valued, or over valued or maybe fairly valued.

c. This is incorrect.

The total assets is made up of total liabilities plus the shareholders equity, when other things are held constant, less debt simply means less liabilities. To balance both sides, the total assets should reduce as the shareholder's equity is constant. When total assets decreases, the return on the assets will increase.

d. This is incorrect.

We can reach a conclusion on which firm is better managed based on the facts given. The debt ratio is the total liabilities divided by total assets, and a lower ratio is known to be good in comparison to a higher ratio. Similarly, the profit margin is the profit divided by the sales, and low profit margin shows high expenses and also a need for the management to decrease the expense.

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2 years ago

Type the correct answer in the box. Spell all words correctly. Fabian got into an accident on his way to work. He had multiple f

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Savings account is what would go in the blank.

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2 years ago

Presented here is basic financial information (in millions) from the annual reports of Nike and Adidas.

Zinaida [17]

Answer and Explanation:

Nike

$18,627÷ ($2,494.7a+ $2,795.3b)/2

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Adidas

$10,299÷$1,415c+ $1,459d)/2

10,299÷$1 437= 7.2 times

2,566.2 – 71.5

b2,873.7 – 78.4

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d1,570 – 111

Average collection period

Nike

365÷7.0= 52.1 days

Adidas

365÷7.2

= 50.7 days

Therefore Adidas's accounts receivable turnover was about 3% higher [(7.2 – 7.0) ÷7.0] than that of Nike's, which simply means that Adidas was slightly more efficient than Nike in turning accounts receivable into cash.

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