Answer:
c. $112,800
Explanation:
The computation of operating income is shown below:-
= (Contribution margin of blink division × Increase sales percentage) - Fixed cost of blink division - Allocated common costs of blink division - Allocated common costs of blur division
= ($218,000 × 135%) - $93,000 - $48,000 - $40,500
= $294,300 - $93,000 - $48,000 - $40,500
= $112,800
Answer:
A. more information should be gathered before deciding on which project, if either, is desirable.
Explanation:
The lower Payback Period is not sufficient information to decide which project is more profitable. The payback period indicates when in the life of a project the initial investment principal cash flow is achieved.
But to decide about a certain project it is better to know the interest yield, it is also important to get the life of the project and other information.
For example:
a.- 250 investment 100 per year payback in 2.5-year life 3 years
b.- 500 investment 100 per year payback in 5-year life 20 years
While A payback occurs before project B is better
Answer:
The common problem i encounter mostly is the statistical modelling problem.
In this scenario we choose best combination of independent variables for the hypothesis testing. the independent variable shows the significant effect on dependent variable so we keep it in modelling.
My null hypothesis would be that there is no significant effect of independent variable on dependent variable. for my alternative hypothesis there exist is significant effect of independent variable on dependent variable.
Explanation:
The common problem I face daily is the statistical modelling problem which is the selection of relevant independent variable for prediction modelling.
In this example to select the best combination of independent variables we use hypothesis testing. if the independent variable has significant effect on dependent variable then the independent variable shows the significant effect on dependent variable so we keep it in modelling. In this way the model gets improved.
Since there are always two variables or two categories. hence it has a two sample test.
The Hypothesis can be shown below:
Null hypothesis:
H0: There is no significant effect of independent variable on dependent variable.
Alternative hypothesis:
Ha: There is significant effect of independent variable on dependent variable.
Answer:
$800 million
Explanation:
GDP = consumption (C) + investment (I) + government spending (G) + Net Export (NX)
Y = C + I + G + NX
The number of computers left is
= 1,000,000 - 200,000 (household) - 300,000 (businesses) - 300,000 (government) - 100,000 (Foreign)
= 100,000
This worth 100,000 × $2,000 = 200 million
300,000 computers × $2,000 = 600 million
Total of these two = 200 + 600 million
= 800 million
Therefore, the value of the investment component of GDP is $800 million.
Answer:
Sam’s Home Store can enforce the contract against Restore Construction Company
Explanation:
In contract law, only the parties involved in a contract can take action to enforce the contract. In this case Sam' Home Store signed the contract with Restore, so they can enforce it. Any third party beneficiaries from the contract, like United Building Supplies, are not entitled to enforce anything.
