Answer:
Decrease by $132,100
Explanation:
Computation of the given data are as follow:-
We can calculate the Operating Income by using following formula:-
Fixed Cost = Fixed Cost * Dropped Rate
= $193,000 * 30/100
= $57,900
So, Operating Income = Sales - Variable Cost - Fixed Cost
= $,1050,000 - $860,000 - $57,900
= $132,100
According to the Analysis, the operating income will be decrease by $132,100 if the business segment is eliminated.
Answer:
$28,121
Explanation:
The formula for compound interest is A=P(1+r/100)t, (t) is in the exponent.
P=25,000
r=4
t=3
Once we input the values it will be: A=25000(1+4/100)3
And so our answer is $28,121
P.S The reason we are using compound interest formula is bcz the said (<u>compounded </u>monthly)