If a 10 percent increase in price leads to a 15 percent decrease in the quantity demanded of the good, as a result of the price change, the total revenue for this product will decrease
This is further explained below.
What is total revenue?Generally, A seller's total income is the sum of all revenues obtained as a result of selling their products or services to customers.
It is possible to express it using the formula P /Q, which stands for the price of the items multiplied by the quantity of the goods that were sold.
In conclusion, If a change in the price of only ten percent results in a fifteen percent drop in the amount of an item that is desired as a direct consequence of the price adjustment, then the overall income generated by the sale of this product will go down.
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complete question
If a 10 percent increase in price leads to a 15 percent decrease in the quantity demanded of the good, as a result of the price change, the total revenue for this product will ________.
Select one:
A /increase
B d/ouble
C dec/rease
D NO ch/ange
the marketing concept holds that above all else, firms must be focused on building the highest quality product possible.
The marketing concept holds that above all else, firms must be focused on building the highest quality product possible.
FALSE
A market is a composition of structures, institutions, methods, social relations or infrastructures whereby events interact in exchange. at the same time as parties may also change items and offerings through barter, most markets rely upon sellers presenting their goods or offerings to consumers in alternate for money.
Marketing refers to how one-of-a-kind industries are labeled and differentiated based totally on their degree and nature of competition for services and goods. The four popular varieties of market systems consist of perfect opposition, oligopoly marketplace, monopoly market, and monopolistic opposition.
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If new technology in a perfectly competitive market brings about a substantial reduction in costs of production, how will this affect the market?
If new technology in a perfectly competitive market brings about a substantial reduction in costs of production, the equilibrium market supply will increase and the equilibrium price would decrease.
In a perfectly competitive market, all buyers and sellers behave rationally and deal in uniformly priced, homogeneous goods.
At the industrial level, prices are determined by the free forces of market supply and demand.
Technology change has an indirect impact on production costs and a direct impact on market prices.
The supply curve would shift lower as a result of the increase in supply brought on by technological change.
The new equilibrium would be at a location lower than before, where equilibrium quantity would rise and equilibrium price would fall as a result of the shift in the supply curve.
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What type of skills are general abilities that transfer to many jobs or situations?
The type of skills are general abilities that transfer to many jobs or situations is job content or functional .
What is skill?
Skill can be described as the creativity, critical thinking, as well as analytical ability to carry out a specific work.
A functional job analysis can be regarded as the process which is been used to identify the essential functions with respect to the job, it should be noted that type of skills are general abilities that transfer to many jobs or situations is job content or functional .
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Jean is a seller in vernon smith's classroom experiment of the market model. which does she know?
Jean is a seller in Vernon smith's classroom experiment of the market model. She knows her own willingness to sell.
Not every salesperson is made the same. While others struggle to meet their quota, some surpass expectations while maximizing cross-sells, up-sells, and repeat business. The distinction between a good and a lousy salesperson typically boils down to particular personality attributes.
A good salesperson and a lousy salesperson are ultimately distinguished by their conduct. For instance, a poor salesperson will frequently impose their agenda on the prospect rather than learn about their requirements and goals in order to successfully assist them in solving their difficulties.
You must be prepared to hear your potential client out before you can expect him to pay attention to what you have to say. Giving your prospect time to speak does not imply active listening to what they have to say.
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In just a few years, thanks to the policies and actions of its undemocratic and authoritarian economy, venezuela has gone from being a prosperous country to a nation with widespread poverty. We use the term ________ to indicate that a country’s political, economic, and legal system are interdependent, and influence the country’s level of economic well-being.
In just a few years, thanks to the policies and actions of its undemocratic and authoritarian economy, Venezuela has gone from being a prosperous country to a nation with widespread poverty. We use the term political economy to indicate that a country’s political, economic, and legal systems are interdependent, and influence the country’s level of economic well-being.
The study of the interactions between political and economic systems is known as political economy. Political economy examines how institutions, rules, and political behavior impact macroeconomic phenomena like growth, distribution, inequality, and trade. The three political economic systems are communism, socialism, and capitalism. Resources are owned by the state or society in communism and socialism, whereas in capitalism, private individuals are the owners.
Political economy examines the people who make up the figures as well as the social consequences of economic decisions. You can be in the world in a variety of ways thanks to political economy. It prepares you for participating in the large public debate regarding the type of society and the type of planet we'll live in.
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All of the following are marketing management philosophies except? sales orientation societal marketing orientation market orientation profitability orientation
All of the following are marketing management philosophies except profitability orientation
This is further explained below.
What is profitability orientation?Generally, With a profit-oriented pricing strategy, we will determine the price of our product in accordance with a certain profit objective.
That may be a target return, which means we want to earn a certain percentage on each unit sold, or it could indicate we want to make the most money possible.
In conclusion, Except for profitability orientation, the following are all marketing management philosophies.
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market-based economies are characterized by a private property rights and price incentives. b scarce resources and prices set by government economists. c an unlimited quantity of resources and price incentives. d scarce resources and price controls. e government control of property and price incentives.
market-based economies are characterized by private property rights and price incentives.
Resource ownership and usage are defined by property rights, both theoretically and legally. These resources may be owned by private persons, corporate entities, or governmental entities and may be either tangible or intangible. The power of private persons to acquire, keep, transfer, rent, or sell property is routinely exercised by individuals in many nations, including the United States. All market exchange in economics is based on property rights, and how those rights are distributed among people in a society has an impact on how effectively resources are used. Legislation that is well-defined and upheld by the state protects property. These regulations outline who owns a piece of property as well as any perks that come with it. Though legal protection exists, the phrase "property" is fairly broad.
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an e-business revenue model that involves users paying a fee for using protected intellectual property is called .
an e-business revenue model that involves users paying a fee for using protected intellectual property is called licensing.
What is E-business?
The conduct of online business procedures on the web, internet, extranet, or a mix of these is known as e-business (electronic business). The purchasing and selling of goods and services, customer service, payment processing, management of the production and supply chains, collaboration with business partners, information sharing, operation of automated employee services, and hiring of personnel are some examples of these customer-, internal-, and management-focused business processes. E-business and e-commerce are related, but e-business includes much more than just online shopping. Functions and services include everything from creating intranets and extranets to having application service providers deliver e-services online. Businesses use e-business to do joint research, work together on sales promotions, and purchase components and supplies from other businesses.
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for each of the scenarios, calculate the surplus and indicate if it is a producer surplus or a consumer surplus.
The answer is Producer Surplus.
Where is producer surplus?A measure of producer welfare is producer surplus. On a graph, it is shown as the region below the equilibrium price and above the supply curve.By deducting total marginal costs from total revenue, producer surplus is calculated. It can also be calculated based on each sold item by deducting the item's marginal cost from its income. Total Revenue - Total Marginal Costs equals Producer Surplus.The difference between what a consumer is willing to pay and what they actually spent for a product is referred to as the consumer surplus. The difference between the market price and the lowest price a producer will accept to create a good is known as the producer surplus.For each scenario, calculate the surplus and indicate if it is a producer or consumer surplus.
Alice has a
Consumer surplus
Surplus 35-30=$5
Nicole has a
Producer surplus
Surplus=500-500=0
Claire has a
Producer Surplus
Surplus=125-100=$25
Roy has a
Consumer Surplus
Surplus=2.50-2.75=-0.25
Consumer Surplus is the difference between what the consumer is willing to pay and what they actually pay. Consumer surplus can be negative in some cases.
Consumer surplus= Willingness to Pay - Price Actually Paid
Producer surplus is the difference between what producers are willing and able to sell and the price that they actually receive.
Producer Surplus=Price received- Willingness to accept.
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A 2007 deloitte report found that enterprise risk management is a valuable approach that can better align security functions with the __________ while offering opportunities to lower costs.
A 2007 Deloitte report found that enterprise risk management is a valuable approach that can better align security functions with enterprise risk management while offering opportunities to lower costs.
What is Risk Management?To reduce, monitor, and control the likelihood or impact of unpleasant events or to optimize the realization of possibilities, risk management involves the identification, evaluation, and prioritizing of risks. This is followed by the coordinated and efficient use of resources. Risk management in business is the process of locating, tracking and controlling possible risks to lessen any harm they can cause to a firm. Potential risks include things like system failures, data loss, cyberattacks, security breaches, and natural disasters. The goal of risk management is to recognize possible issues before they arise or, in the case of changes, to attempt to take advantage of them to make them happen. Risk-handling procedures may be used at any time throughout the project.
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Enterprises can acquire the latest business apps and digital services as they are needed and without large upfront investments by switching from owning it resources to?
Enterprises can acquire the latest business apps and digital services as they are needed and without large upfront investments by switching from owning IT resources to Cloud Computing.
What is Cloud Computing?Delivering various services over the Internet is known as cloud computing. These resources include equipment and software, such as servers, databases, networking, and software for data storage.
With cloud-based storage, files can be saved to a remote database as opposed to being kept on a proprietary hard drive or local storage device. A computer or other electronic device may access data and the software needed to run it as long as it can access the internet.
Many factors make cloud computing a popular choice for individuals and companies, including cost savings, enhanced productivity, speed and efficiency, performance, and security.
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the president of an auto parts merchant, deal corp., wrote to boyd, offering to sell the deal factory site for $300,000. the site is comprised of approximately 20 acres of land and a few abandoned building. the written offer was signed by deal's president and sent on june 5. the offer was received by boyd on june 9. the offer stated that it would remain open until december 20. the offer:
Its good until December 20, although Deal may be revoked it at any point prior to that day if Boyd has not agreed to it.
What is Revoke?Recalling or revoking something causes it to be nullified: revoke a will. 2: to deliver or ring back. To break the rules of a card game by failing to follow suit when one is able. revoke.
When you revoke something, you formally cancel it, as when you take away your sister's title as "coolest sibling" since she frequently shares amusing photos of you from your younger years with her friends.
Formally stating that something is no longer in force: The authorities have officially reversed their initial decision to permit development in this rural area. substitute; repeal.
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what additional assumptions can justify the stock market index level of 4,200? show your calculations and explain your reasoning carefully
As stated in the Question,
Level of the stock market index: 4500
1.3% is the long-term risk-free rate.
Total revenue anticipated for 2019 is equal to 132.
45% is the payout ratio.
Reinvestment Ratio: (1 - 45%) = 55%Assuming,
Earnings Expected divided by stock market index level is expected return.
Return Expected = 132/4500Return Assumed = 2.933%Reinvestment × Expected Return = Sustainable Growth RateSustainable Growth Rate = 2.933% multiplied by 55%59.40 is the sustainable growth rate.Utilizing the Constant Growth Model
Value = Next Year's Dividend / ( Expected Return on market - Growth Rate)Value = 59.40 / (2.913% - 1.613%)Value = 59.40 / 1.32%Value = 4500Therefore, the value of 4500 is supported by the above-calculated sustainable growth rate and projected return assumptions.
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Correct Question - Assume that the stock market index is trading at a level of 4,500. You can interpret this index level as a scaled price that was set at some point to 100 and appreciates as the stocks included in the index appreciate. The long-term risk-free rate is 1.3%. The aggregate earnings (scaled in the same way as the index level) of the firms in the stock market index are expected to be 132 next year and the payout ratio (dividends as a percentage of earnings) has been 45% and is expected to remain 45%. What additional assumptions can justify the stock market index level of 4,500? Show your calculations and explain your reasoning carefully
What inventory account is used for both manufacturing and merchandising companies?
The inventory account is used for both manufacturing and merchandising companies is Cost of Goods Sold.
What is an inventory account?Inventory accounting is known to be a term that connote the body of accounting that handles the issues with regards to the valuing and accounting for alterations in inventoried assets.
Note that A company's inventory is one that entails goods in all the stages of production and as such, the inventory account is used for both manufacturing and merchandising companies is Cost of Goods Sold.
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hich account is used by both manufacturing and merchandising companies? Multiple Choice O Raw Material Purchases. O Work-in-Process Inventory. O Finished Goods Inventory О O Cost of Goods Sold
A firm has net working capital of $640. Long-term debt is $4,180, total assets are $6,230, and fixed assets are $3,910. What is the amount of the total liabilities?.
A firm has net working capital of $640. Long-term debt is $4,180, total assets are $6,230, and fixed assets are $3,910. $5,860 is the amount of the total liabilities.
For example, if a corporation has current assets of $100,000 and current liabilities of $80,000, then its assets would be $20,000. Simply put, Net capital (NWC) is the difference between a company's current assets and current liabilities on its record. it's a measure of a company's liquidity and its ability to fulfill short-term obligations, yet as fund operations of the business.
In theory, a business could become bankrupt whether or not it's profitable. After all, a business cannot depend upon net working capital paper profits to pay its bills—those bills have to be paid in cash readily in hand. Say a corporation has accumulated $1 million in cash thanks to its previous years' retained earnings.
If the corporation were to speculate all $1 million directly, it could find itself with insufficient current assets to procure its $5,860 current liabilities. Working capital is very important because it's necessary for businesses to stay solvent.
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tuart corporation estimated its overhead costs would be $23,700 per month except for january when it pays the $116,580 annual insurance premium on the manufacturing facility. accordingly, the january overhead costs were expected to be $140,280 ($116,580 $23,700). the company expected to use 7,700 direct labor hours per month except during july, august, and september when the company expected 9,500 hours of direct labor each month to build inventories for high demand that normally occurs during the christmas season. the company’s actual direct labor hours were the same as the estimated hours. the company made 3,850 units of product in each month except july, august, and september, in which it produced 4,750 units each month. direct labor costs were $24.40 per unit, and direct materials costs were $10.90 per unit.
The predetermined overhead rate is $4.1, the Total allocated overhead cost for January is ($31570), and March($31570), August ($44650), Cost per unit for January, March, and August is (43.80, 43.80, 45.00), Selling price per unit for January, March, and August is (64.30, 64.30, 65.50)
A predetermined overhead price, also known as a plant-extensive overhead fee, is a calculation used to determine how much of the entire production overhead cost might be attributed to every unit of product synthetic. The price is decided by dividing the constant overhead price by the estimated quantity of direct labor hours.
Predetermined overhead rate = total overhead / total labor hours
Total overhead = ( 23700 * 12 ) + 116580 = $400980
Predetermined overhead rate = ( 7700 * 9 ) + ( 9500 * 3 ) = 97800
Predetermined overhead rate = 400980 / 97800 = $4.1
Total overhead allocated cost:
January = 7700 * 4.1 = $31570
March = 7700 * 4.1 = $31570
August = 9500 * 4.1 = $44650
Cost per unit of January, March, and August
January March August
Direct material per unit 10.90 10.90 10.90
Direct labor per unit 24.70 24.70 24.70
Overhead per unit 8.20 8.20 9.40
Cost per unit 43.80 43.80 45.00
January ( 31570/3850 = 8.2 ), March ( 31570/3850 = 8.2 ), August ( 44650/3850 = 9.4 )
Selling price for the product assuming the gross margin to be 20.50
January March August
Cost per unit 43.80 43.80 45.00
Gross margin per unit 20.50 20.50 20.50
Selling price per unit 64.30 64.30 65.50
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here are six comparable sales. sale price/monthly rent: 1. $98,000/$800. 2. $102,000 /$850. 3. $89,500/$750. 4. $91,600/$750. 5. $87,500/$750. 6. $105,000/$875. what is the median of the grms?
The median of the grms: is 120.0.
How do you calculate monthly rental rate?Consider a three-bedroom house with a built-up space of 1500 square feet. If an adjacent two-bedroom house with a built-up area of 1000 square feet is rented out for Rs 12,000 per month, the calculation would be Rs 12,000 / 1000 ft, or Rs 12 per square foot.The 1% rule is a useful technique for prescreening. It is a useful tool for separating good investments from bad ones and limiting your list of potential properties. Apply the 1% rule to the listing price as you evaluate listings to see whether the result is close to the neighborhood median rent.A method for calculating your cap rate in real estate investing is the 1% rule. Investors should estimate monthly rent to be at least 1% of the entire purchase price when appraising properties, according to this rule.The ratio of a certain location's annualized rent to the price of a home is known as the price-to-rent ratio. This ratio serves as a standard for determining whether it is more affordable to rent or buy a home. The price-to-rent ratio measures whether housing markets are appropriately valued or experiencing a bubble.What is the median of the grms? 120.0.
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target your tax planning efforts toward paying your fair share of taxes while taking advantage of tax benefits appropriate to your personal and financial situation.
Concentrate your tax planning efforts on paying your fair share of taxes and obtaining tax benefits that are suitable for your financial and personal circumstances. The previous claim is accurate.
How to define tax planning.
Tax planning includes analyzing a scenario or financial strategy from a tax standpoint. The basic goal of tax planning is to ensure tax efficiency.
According to the relevant income tax brackets, everyone is required to pay taxes. Therefore, effective tax planning is crucial for them to reach their financial objectives. A person may take use of the various exclusions and deductions to reduce their tax liability.
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Compared to the developing economies, the advanced economies have ________ human capital and ________ physical capital.
Compared to the developing economies, the advanced economies have MORE human capital and MORE physical capital.
Human capital and economic expansion are strongly correlated. By enhancing people's knowledge and abilities, human capital has an impact on economic growth and can contribute to the development of an economy. The knowledge, skill sets, and experience that employees have in an economy are referred to as human capital. Since a competent workforce can result in higher productivity, the skills have economic worth.
Man-made commodities that help with production make up physical capital. Physical capital includes items like cash, property, machinery, and inventory. On the balance sheet, physical capital values are listed in descending order of solvency.
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shanti's company donates $1 million to the children's miracle network so that children with cancer can be treated in the area. this is an example of . question content area bottom part 1 a. consumerism b. misanthropy c. influence peddling d. a political action committee (pac) e. philanthropic giving
Shanti's company donates $1 million to the children's miracle network so that children with cancer can be treated in the area. this is an example ofphilanthropic giving
What is Philanthropic giving?
Philanthropic giving refers to activities of the company which are not aimed at profits but rather they kind gestures which serve as ways to the give back to the society in form charitable giving, in this case, the fact that the company donates to the children's miracle network in order to alleviate the suffering of cancer patients is not for profit motive rather they only intend to portray the company as a responsible corporate entity that sees beyond profit.
The $1 million donation could as well be invested in equipment or capacity building, however, there are tax concessions attached to such donations
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true or false: the main purpose of managerial accounting is to provide relevant information to its managers.
The statement that the main purpose of managerial accounting is to provide relevant information to its managers. is TRUE.
What is the purpose of management accounting?Management accounting has the purpose of providing valuable insight to managers and decision makers in a company in order to allow them to make better decisions.
Management accounting therefore provides relevant information to managers and is meant for only those within a company.
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What is the connection between incentives and consumer sovereignty in a free market economy?.
Consumer sovereignty refers to the ability of consumers to decide what they will purchase, giving them influence over what is produced by encouraging businesses to provide high-quality goods and services.
Why does the free market allow for consumer sovereignty?
The importance of consumer sovereignty Because it guarantees that consumers have the freedom to make their own decisions, consumer sovereignty is a crucial component of our economy and society. As a result, products can be sold on a free market at prices set by supply and demand.
When businesses invite consumers to test products or hear pitches for new ideas, this is an example of consumer sovereignty in action. It grants consumers control over the decision-making process before goods are produced.
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identify the form of capital market efficiency under the efficient market hypothesis described in the following statement:
The form of capital market efficiency under the efficient market hypothesis based on this statement: Semi-strong form efficiency.
Though the efficient market hypothesis theorizes the market is usually efficient, the idea is obtainable in three different versions: weak, semi-strong, and strong. The efficient markets hypothesis (EMH) argues that markets are efficient, leaving no room to create excess profits by investing since everything is already fairly and accurately priced.
This means that there's little hope of beating the market, although you'll be able to match market returns through passive index investing. The efficient market hypothesis states that when new information comes into the market, it's immediately reflected on available prices and thus neither technical nor fundamental analysis can generate excess returns.
Capital Market Efficiency indicates the degree to which these stock prices accurately reflect the present information available within the marketplace. There are three basic types of capital market efficiency: weak form, semi-strong form, and robust form.
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Complete question: Consider the following statement, and identify the form of capital market efficiency under the efficient market hypothesis based on this statement:
unfortunately, shannon doesn't have enough money in her account right now. she needs to make additional contributions at the end of each of the next three years to be able to pay for the repairs. her account currently has $5,000, which, along with her additional contributions, is expected to continue earning 9% annual interest. if she makes equal contributions each year, how large must each contribution be for shannon to have $9,000 after three years?
If Shannon makes equal contributions each year, each contribution must be $770.22 for Shannon to have $9,000 after three years.
Given,
Her account currently has $5,000, which, coupled with her additional donations, is predicted to produce 9% annual interest for the foreseeable future.
Shannon wishes to have $9,000 after three years in her account.
The equal contributions will be an annuity.
The $5,000 already there will also grow at 6% for 3 years.
Expression is;
[tex]FV= [PV *(1 + i)^t ] + Contribution * Future Value Interest Factor Of Annuity, 3 years, 9 Percent[/tex]
Where, FV = Future value = $9,000
PV = Present Value = $5,000
i = interest rate = 9% = 0.09
and t = time period = 3 years
Now substituting the values in the equation we get,
9,000 = ( 5,000 * ( 1 + 9%)^3) + Contribution * 3.2781(refer to the attached image, marked with red ink)
9,000 = (5,000 * 1.29503) + Contribution * 3.2781
9,000 = 6,475.145 + Contribution * 3.2781
Contribution = (9,000 - 6,475.145) / 3.2781
Contribution = 2,524.855 / 3.2781
Contribution = $770.22
Hence, the answer is $770.22
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indicate whether each of the following is identified with one an asset to a liability or three stockholders equity
a) accounts receivable: asset
b) salaries and wages payable: liability
c) equipment: asset
d) supplies: asset
e) owner's capital: owner's equity
f) notes payable: liability
g) accounts payable: asset
h) cash: asset
How are shareholders' equity determined?When a company is established, the shareholders' equity represents the amount of money that has been invested in the business. This also includes any retained earnings or profits that may have been generated since inception. In order to determine shareholder's equity, various factors need to be considered such as:
The value of common stockOption and warrants exercises and other derivative activitiesRegistration rights (such as voting rights)Stage of development (public companies start with more dilute ownership)To learn more about Shareholders' equity, visit;
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_________ rely mainly on active experimentation and concrete experience in order to learn, and they focus on risk taking, opportunity seeking, and action.
Accommodators rely mainly on energetic experimentation and experience revel in with the intention to examine, and they focus on hazard-taking opportunities searching for, and action.
Experience is knowledge or talent in a selected task or pastime that you have received due to the fact you have got carried out that task or hobby for a long time. The beginning of an infant. The delivery of a grandchild. A reconciliation or reunion with a cherished one. Immersing yourself in a brand new tradition or way of existence.
Experience is essential as it allows you to grow and evolve. while you are provided with a new surroundings, you will learn how to adapt to the situation to be triumphant. you can also increase ultra-modern thoughts and techniques because of your experience with different things.
Humans revel in is how employees experience their employment in the course of their tenure from hire to retirement. EMA's humans enjoy presents an environment of help so participants can implement first-rate practices to attract, engage, develop and hold their humans.
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margo borrows $800, agreeing to pay it back with 5% annual interest after 7 months. how much interest will she pay?
Answer:
23
Explanation:
800 * 5% * (7/12) = 23.333
dividing 7 by 12 coz there r 12 months in a year and she is paying for 7.
What does research tell us about the impact of ricardian equivalence effects on the economy?
Paying for government expenses using current taxes or future taxes (as well as existing deficits) will have comparable effects on the state of the economy as a whole, according to the economic theory known as Ricardian equivalence.
What is Ricardian equivalence?Government deficit spending is equivalent to spending from current taxes, according to the Ricardian equivalence.In order to pay projected future taxes, taxpayers will set money aside, which tends to offset the macroeconomic effects of increasing government spending.This hypothesis has often been seen as undermining the Keynesian premise that deficit spending can boost economic performance, especially in the near run.This theory was developed by David Ricardo in the early 19th century and later built upon by Harvard professor Robert Barro. Thus, the Barro-Ricardo equivalence proposition, often known as Ricardian equivalence, is frequently used.To know more about Ricardian equivalence visit:
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picabo, an aggressive skier, spends her entire income on skis and bindings. suppose picabo has $3,600 to spend on skis and bindings each year. find her best affordable bundle of skis and bindings on the basis that (a) she wears out one pair of skis for every pair of bindings she wears out, and (b) she wears out two pairs of skis for every one pair of bindings. skis are $480/pr and bindings are $240/pr.
Ski racer Picabo spends all of her money on bindings and skis.
For every set of bindings that she uses up, she goes through one pair of skis.
a. Visualize the Picabo indifference curves for the skis and bindings.
b. Create her indifference curves based on the presumption that she is such an aggressive skier that she goes through two pairs of skis for every set of bindings. The ideal cost, which includes skis and bindings, is $575.
Skiers who shop at Advance value skis Beginners: 20 * [$250 + $375] = $12,500 Intermediate: 20 * [$350 + $250] 20 * [$175 + $325] = $10,000
$35,00 total revenue
The ideal cost is $575 ($34,500 / 60).
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griffin's goat farm, incorporated, has sales of $594,000, costs of $255,000, depreciation expense of $42,000, interest expense of $27,000, and a tax rate of 21 percent. what is the net income for this firm?
The net income for this firm is $207,770.
Net income refers to the amount a person or enterprise makes after deducting expenses, allowances, and taxes. In trade, internet earnings is what the enterprise has left over in any case costs, including salary and wages, a fee for products or uncooked fabric, and taxes.
EBIT = Sales – Costs – Depreciation Expense
EBIT = $594,000 - $255,000 - $52,000
EBIT = $287,000
EBT = EBIT – Interest Expense
EBT = $287,000 - $24,000
EBT = $263,000
Net Income = EBT – EBT*tax rate
Net Income = $263,000 - $263,000 *21%
Net Income = $263,000 - $55,230
Net Income = $207,770
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