Answer:
Explanation:
The variance is 0.02081475
State Return
Boom =(24%*0.15+24%*0.22+52%*0.42)=0.3072
Bust =(24%*0.14+24%*0.04-52%*0.05)=0.0172
Variance=0.55*(0.3072-(0.55*0.3072+0.45*0.0172))^2+0.45*(0.0172-(0.55*0.3072+0.45*0.0172))^2=0.02081475
The answer is<u> "buy-side marketplace model".</u>
The buy-side marketplace is a model in which associations endeavor to purchase required items or administrations from different associations electronically. A noteworthy strategy for purchasing products and enterprises in the buy-side model is the turn around closeout. The buy-side model uses EC technology to streamline the buying procedure. The objective is to decrease both the expenses of things bought and the managerial costs engaged with obtaining them. Moreover, EC technology can abbreviate the buying process duration.
Answer:
1. amount of sales = $243,000
2. margin of safety = 33.3%
Explanation:
1) required contribution margin = fixed costs + target pretax income
= 324000 + 162000
= $486,000
amount of sales = required contribution margin/ contribution margin ratio
= $486,000/20%
= $243,000
2) break-even sales = 324000/20%
= $1620000
margin of safaty sales = $2430000 - 1620000
= $810000
margin of safety = 810000/2430000
= 33.3%
Answer:
EPS
Plan I $2.03 per share
Plan II $1.78 per share
Explanation:
Plan I
As this plan is all equity plan, so there is no debt and no interest expense as well.
In the absence of taxes, We will use the EBIT in the calculation of EPS
EPS = Net Earning / Outstanding numbers of shares = $375,000 / 185,000 = $2.03 per share
Plan II
In this levered plan we have debt and equity combination. We also have to deduct the interest expense from EBIT to calculate the net income.
Interest Expense = $2,700,000 x 5% = $135,000
Net Income = EBIT - Interest Expense = $375,000 - $135,000 = $240,000
EPS = Net Income / Outstanding numbers of shares = $240,000 / 135,000 = $1.8 per share
Answer
Increase- a popular new diet prescribes
only olive oil for weight loss
Increase- a report in news stating that
consumption of olive oil
improves health
Decrease- a decrease in the price
of other vegetable oil
Decrease- research shows that olive oil
consumption leads to hair loss
Explanation:
