Answer:
(a)
Mathematical Equation for break-even
F = QP - QV
Where
F = fixed cost
Q = Break-even quantity
P = Selling price
V = Variable cost
F = Q ( P - V )
Q = F / ( P - V )
Q = $327,030 / ( $630 - $300 )
Q = $327,030 / $330
Q = 991 units
(b)
Contribution Margin = Price per unit - Variable cost per unit
Contribution Margin = $630 - $300 = $330
Break-even Point in Units = Fixed Cost / Contribution margin per unit
Break-even Point in Units = $327,030 / $330 = 991 units
Explanation:
Mathematical equation use the the break-even equation which represent the behavior of each element towards the break-even point.
Contribution per unit method use the contribution of each unit to calculate the break-even point.
Answer:
True
Explanation:
Microsoft matrix along with his rivals. There are two ways to use the technology. Microsoft and its rival can move simultaneously. The equilibrium strategy can be determined y pay off matrix. The both companies use pure strategy. The criteria for pure strategy is max-min and min-max. The max-min strategy means select least case from all the best cases and min-max is selecting the best case from all the least cases.
Your answer is
<span>B. an invoice</span>
Unless the question is incomplete, then there is tax on the fruit which is where the other 8 cents is coming from. There is tax on some food items, but not all, so there could be a surcharge of some short that the quick market charges.
Answer:
They should invest $5,119,047.619 today.
Explanation:
The trust fund will pay a fixed amount forever thus it is a perpetuity. The value of perpetuity or Price of perpetuity is the amount that the perpetuity is worth in today's terms based on the cash flows it will generate in future.
The formula for the value or price of perpetuity is,
P0 or V = Cash Flow / r
Thus,
P0 or V = 215000 / 0.04 = $5,119,047.619