which of the following statement is true? multiple choice operating leverage refers to a company's ability to increase its sales volume while decreasing its total fixed cost. operating leverage may help a company increase its profitability but it cannot decrease profitability. a company that has only variable cost cannot benefit from operating leverage. to benefit from operating leverage a company must have both fixed and variable costs.

Answers

Answer 1

A business with mainly variable costs is unable to take advantage of operating leverage.

What is sales volume?Units sold by your business in a certain reporting period are referred to as sales volume. Depending on the amount of sales volume you want to monitor, this period could be a month, a quarter, or a year. Sales volume is a common metric used by investors to determine whether a business is expanding or declining. Sales volume and sales revenue are two different things. Sales volume describes the quantity of goods sold over a specific time frame, sometimes a quarter or a year. However, sales revenue tracks how much money a business makes over a specific period of time. The number of units of a product that your business sells over the course of a given reporting period is known as the sales volume.

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Related Questions

marginal revenue is not equal to price for a monopolist because: group of answer choices the monopolist's demand curve is below its marginal revenue curve. the monopolist must lower the price of all units in order to sell more. the monopolist sets price equal to marginal cost. total revenue increases as output increases.

Answers

the monopolist must lower the price of all units in order to sell more, Because a monopolist must reduce the price of all units to increase sales, marginal revenue and price are not equivalent for a monopolist.

Because there is only one seller under a monopoly, the market is actually the monopolist. Because of this, the monopolist's demand curve slopes downward, meaning that as the price rises, less is demanded. The marginal revenue curve similarly slopes downward, but it is lower than the demand curve because the monopolist must reduce prices across the board as it sells more products to increase sales. This indicates that for a monopolist, the marginal revenue is lower than the price. The marginal revenue is equal to zero when the reserve price and posted price are both optimum.

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a market in which households sell land, labor, and capital to firms

Answers

The Market for Resources. In the demand curve concept, households are the users of said production factors in the financial economy (factor market).

Why is it vital to define the market?

An essential initial step in evaluating mergers and the majority of antitrust lawsuits is market definition. It serves to outline the parameters of corporate rivalry.

What exactly is a market, for instance?

A market is any place where sellers include producers, retailers, and distributors and buyers include consumers. Examples include storefronts, important thoroughfares, and websites. The term are also used to refer to any consumer who makes a purchase of a good or service.

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Investor presentations of ________ provide an opportunity for discussions to take place regarding the continuing corporate performance on ________ value creation story and a ________ value creation plan.a) short-term plans; short term; short termb) short-term plans; long term; long termc) long-term plans; short term; long termd) long-term plans; long term; long term

Answers

Investor presentations of "long-term plans" provide an opportunity for discussions to take place regarding the continuing corporate performance on "long-term" value creation story and a "long-term" value creation plan. The correct option is D.

The long-term plans is the planning in which the target goals which is taken as a longer period of time to reach and need more processes steps.

That's why, most of  the investor presentations of long-term plans which is to provide an opportunity for discussions to take place for the continuing corporate performance on long-term value creation story and a long-term value creation plan.

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carefully specified objectives should have all of the following characteristics except _______.

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With the exception of having ambiguous end dates, correctly chosen objectives should contain all of the following criteria.

What makes something unspecific?

The Latin verb specificare, which meaning "to mention especially," is where the word specify, the basis of unspecified, originates. Unspecified refers to something that is not specifically mentioned. The prefix un denotes "not," therefore. Get your favorite fruit if you're going to the supermarket to buy an unnamed fruit.

What are some instances of travel that is not specified?

Imagine being pulled aside for a security check at the airport, then being led into a back room, hooded, and driven away. without any knowledge of your destination. You'll then be placed in a cramped cell where you can hear the cries coming from the other captives.

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Hasan needs to know how long the design phase of his project will take. What can he do to get that information

Answers

Establish checkpoints at the start and end of the phase. Make an automated summary task with all the tasks for that phase in it. Determine the amount of time between the phase's earliest and latest dates.

How can tasks be turned into milestones?

Click Task after choosing the milestone. Click Task Information in the Properties group. Enter the milestone duration in the Duration box after selecting the Advanced tab. Click OK after selecting Mark task as milestone.

Can a summary task constitute a milestone?

Because a milestone has no duration, it typically serves as a deadline for a variety of tasks that must be completed. A summary task lasts from the beginning of the first subtask to the end.

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nonpublic knowledge about a corporation possessed by corporate officers, major owners and other individuals with privileged access to information about the firm is called'

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Inside information refers to confidential information about a firm that corporate executives, significant shareholders, and other people with special access to such information may have.

A firm is a for-profit business entity that offers professional services, such as a corporation, limited liability company (LLC), or partnership. Most businesses only have one location. On the other hand, a business company is made up of one or more physical locations that are all owned by the same person and have the same EIN (EIN). The term "firm," when used in a title, is frequently connected to companies that offer expert legal and accounting services, but it may also refer to a wide range of companies, including consulting, marketing, and graphic design firms, among others.

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A reduction in the list price granted to a merchandising business.
answer choices
terms of sale
sale discount
list price
trade discount

Answers

A reduction in the list price granted to a merchandising company is  trade discount The discount price is the amount that is reduced from the original price.

What is the discount off the list price?

A functional discount is a reduction from the list price offered by a seller to buyers in exchange for marketing functions performed by the buyers.

A growing number of companies have expanded beyond traditional retailer-wholesaler boundaries and now sell the same product through two or more structurally distinct channel systems. As a result, the historically synonymous definitions of trade and functional price discounts are no longer applicable. If regulatory agencies continue to use these out-of-date definitions, the Robinson-Patman Act will be difficult to enforce, and distributive innovation will be hampered. The definition of a price discount determines who is (and is not) eligible for the discount, so it is an important starting point for analyzing a discount's competitive effect, which is the primary test under the Robinson-Patman Act. Regulatory agencies should be aware of the pro-competitive effects of price cuts and pursue an enforcement policy that promotes both competition and innovation. The authors provide clarification terminology for trade and functional price discounts.

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Which of the following best defines goal?
a. aim or purpose
b. disregard or disrespect
c. freedom from doubt
d. influence

Answers

A. Aim or purpose

Because a goal is a target that your trying to accomplish

All of the following would be considered a direct material for an automobile exceptA.TiresB.BatteriesC.fabric for seatsD.sand paper

Answers

Option D sand paper is correct that would not  be regarded as a direct material . The direct materials used in the manufacture of a smartphone are integrated circuits, camera modules, and buttons.

What is Direct material?

Direct materials are raw materials that are directly used in the manufacturing process of a company's goods and services and are an essential component of the finished goods manufactured. Direct Material Costs are reported on the debit side of the trading account under the heading "cost of goods sold." They are also known as the costs incurred to create a product that can be traced back to its original form.

It can take physical or artificial forms, such as technology. For example, in a company like Amazon, the main cost of the company is to build a system that allows it to reach the greatest number of people worldwide. Since, in this case, the technology cost will be considered as the direct materials cost, The company will be unable to sell products on the platform unless it establishes a proper technical infrastructure. Cost accounting, on the other hand, is more thoroughly studied because it has a direct impact on the final product costing.

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you overhear two co-workers discussing something personal that they had saw on a customer's device. what would you do?

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You overhear two co-workers discussing something personal that they had saw on a customer's device. I would do that to explain them they do the wrong according to the privacy policy of the company on customer devices.

The privacy policy is the term which is defined as the legal statement or document in which the disclosures between the one party to other party, uses, and to manager the data of the customers or clients.

The two co-workers discussing something personal that they had saw on a customer's device, they do the wrong or illegal and they have to acknowledge the mistake. The organization should take a strict action. So, that in future the workers should know their restrictions and company's policy.

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debbie, along with mick and rory, decided to start a new catering business. she invested her time, money, and efforts in the project, and she directly managed the business development process. in this scenario, debbie is most likely a(n)

Answers

Debbie in her collaboration with Mick and Rory is most likely an enterpreneur (D).

To answer this qustion, let's discuss each option's definitions first.

Franchisor refers to a person or company who sell the right to open and sell products using his brand, expertise, and intellectual property to the franchisee. Franchisor and franchisee is related in a franchise relationship. Franchise is often used as one of business expantion strategy by a company.

Fundraiser is a person who is responsible to collect, getting, gathering, or raising money for a business to take place. Fundraiser seeks financial support for a particular purpose.

Client is a type of customer who purchasses a company's professional services. Client seeks advices and solutions from his puchase activity.

Enterpreneur is responsible on creating new business, bearing most of the risks, leading the management, maintaining the business' sustainability.

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Complete Question:

debbie, along with mick and rory, decided to start a new catering business. she invested her time, money, and efforts in the project, and she directly managed the business development process. in this scenario, debbie is most likely a(n) ____

a. Franchisor

b. Fundraiser

c. Client

d. Enterpreneur

on april 1, wall's inventory had a fair value of $150,000, and the property and equipment (net) had a fair value of $380,000. what is the amount of goodwill resulting from the business combination?

Answers

First, the identifiable net assets' fair value must be established. Inventory $150,000, P&E (net) $380,000, Liabilities ($120,000), Net Assets $470,000, Cash $60,000.

What is an inventory?Once this has been established, figuring out the goodwill is as straightforward as deducting this sum from the purchase price. ($620,000 divided by $470,000 is $150,000 goodwill). The items and materials that a company keeps on hand with the intent of reselling, producing, or using them are referred to as inventory or stock. Defining the size, location, and shape of stocked commodities is a major focus of inventory management. Inventory is the collective term for all the goods that a business keeps on hand in preparation of reselling them to clients at a profit. In this case, only the newspaper will be regarded as inventory if the vendor delivers newspapers to customers using a vehicle. It will be seen as an asset to treat the car.The items and materials a company buys, makes, or generates with the intention of selling, trading, or manufacturing are considered inventory. Stock trading is another name for this.

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there is a gap between how well the us stock market does, and how the average investor does. what 2 factors explain that gap?

Answers

1. Lack of education on investing & market knowledge.

2. Poor decision making based on emotions instead of research.

What 2 factors between US stock market and the average investor’s ?

Fees and emotions are the two main factors that account for the discrepancy between the performance of the US stock market and that of the typical investor.

Fees include things like broker commissions and other administrative expenses that come along with buying and selling investments. Over time, even small fees can have a big impact on returns.

Emotions may also play a role. Investors may act irrationally in volatile markets, such as buying high and selling low, which can lower returns.

Investors might also become overconfident and take on more risk than they can handle, or they might become overly fearful and miss out on investment opportunities. Investors can increase their chances of success in the stock market by accounting for fees and emotions.

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juul claimed that their product helped people __________, even though there was no independent research to back that up.

Answers

JUUL claimed their product helped people quit smoking, but there was no independent research to support this.

What is the best manner to stop smoking?

“The best way to quit smoking is with a combination of medication and counseling," said Maher Karam Hage, M.D., medical director of MD Anderson's Tobacco Treatment Program. "Both are helpful. But using both doubles her chances of using one or the other."

What happens to your body when you quit smoking?

About three days after quitting, most people experience irritability, irritability, severe headaches, and cravings while their bodies readjust. In just one month, a person's lung function begins to improve. As the lungs heal and vital capacity improves, ex-smokers may notice less coughing and shortness of breath.

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a man borrowed r 3750 at the imple intret 7.5% p.a what will be the um he ha to depoit at the end of 73 day

Answers

We will receive Rs. 3806.25 after calculating the sum's simple interest. 3806.25. This implies that a man must deposit Rs. 3806.25 in his account at the end of 73 days.

What is Simple Interest?

Simple interest is determined by multiplying a percentage of the principal (original amount) by the investment's duration. The simple interest can then be added to the principal amount to determine the investment's final value.

In its simplest form, interest is expressed as a percentage of the principal. For instance, if you agreed to repay a friend's $100 loan with 5% interest, the interest you would pay would only be 5% of 100: $100(0.05) = $5.

The formula of Simple Interest:

A = P(1+RT/100)

A = 3750(1+7.5×0.2/100)

T = 73/365 = 0.2years

  = 3806.25

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which of the following statements regarding stock dividends and stock splits is true? group of answer choices when a 100% stock dividend occurs, the par value is cut in half and the number of shares doubles when a 100% stock dividend occurs, the par value is doubled and the number of shares doubles when a 2-for-1 stock split occurs, there is no change to the par value of the stock, and the number of shares is doubled when a 2-for-1 stock split occurs, the par value is cut in half, and the number of shares is doubled when a 100% stock dividend occurs, the par value is unchanged and the number of shares doubles when a 2-for-1 stock split occurs, the par value is doubled, and the number of shares is doubled

Answers

Both a stock dividend and a stock break up make bigger the stability in the frequent inventory account.

Stock splits do no longer enlarge the stability in frequent stock. In fact, journal entries are no longer required for inventory splits. The right answer is B.

What is authentic regarding stock splits?

A inventory split happens when a organisation will increase the wide variety of its shares to raise the stock's liquidity.

Although the range of shares exceptional will increase through a unique multiple, the total greenback value of all shares amazing remains the same due to the fact a split does not essentially exchange the company's value.

What happens to dividends when a stock splits?

In general, dividends declared after a stock cut up will be decreased proportionately per share to account for the increase in shares outstanding, leaving whole dividend repayments unaffected. The dividend payout ratio of a business enterprise shows the proportion of net income, or earnings, paid out to shareholders in dividends.

Which of the following is no longer actual about a stock dividend?

Answer and Explanation: Answer choice: c. Cash dividends paid to stockholders reduce net income. Cash or inventory dividend does now not have an effect on the net income.

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a project does not include question 29 options: unique elements. a specific objective. repetitive same or similar work. creating a new product or service.

Answers

A project does not include unique elements.

Projects have different characteristics than work in progress or business activities. These are not routine business processes and have fixed start and end dates. This characteristic is important because most of the project effort goes into ensuring that the project is completed on time. To do this, a schedule is created that indicates when the task will start and end.

Projects are time-bound and have fixed start and end dates.A project is completed when the project goals are achieved or when it is determined that the project is no longer feasible.

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the shorter the forecast period, the more accurately the forecasts tend to track what actually happens. group startstrue or falsetrue, unselectedfalse, unselected

Answers

True, Making accurate long-term predictions is far more challenging. Marketing forecasting helps you optimize product and marketing tactics for future performance.

The forecasting process helps you understand the effectiveness of your marketing strategies and puts you in a better position to optimize your efforts going forward.

By understanding the strengths and weaknesses of your campaigns, you can better predict what will work and what techniques to omit altogether.

Businesses can learn more about their prospects in niche markets by using marketing forecasting. The use of market research and historical data allows for more accurate sales forecasting, as well as the identification of emerging needs and trends.

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The right way of asking the question is:

The shorter the forecast period, the more accurately the forecasts tend to track what actually happens, True or False.

lease 1 does not contain a bargain purchase option, but the lease term is equal to 70 percent of the estimated economic life of the leased property. lease 2 does not transfer ownership of the property to the lessee by the end of the lease term, but the lease term is equal to 90 percent of the estimated economic life of the leased property. how should the lessee classify these leases? lease 1lease 2 1-operating leasefinance lease 2-operating leaseoperating lease 3-finance leasefinance lease 4-finance leaseoperating lease

Answers

Lease 1 should be classified as an operating lease, and lease 2 should be classified as a capital lease.

How should the lessee classify these leases?

Lease 1:

1. Check if the lease contains a bargain purchase option: No

2. Check if the lease transfers ownership of the property to the lessee by the end of the lease term: No

3. Check if the lease term is equal to 90 percent or more of the estimated economic life of the leased property: No

4. Classification: Operating lease

Lease 2:

1. Check if the lease contains a bargain purchase option: No

2. Check if the lease transfers ownership of the property to the lessee by the end of the lease term: No

3. Check if the lease term is equal to 90 percent or more of the estimated economic life of the leased property: Yes

4. Classification: Capital lease

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a cost driver is . multiple choice question. a factor that causes overhead costs to occur a measure that is used to assign overhead costs to products and services the amount of overhead assigned to a job something you want to know the cost of

Answers

Allocates overhead to activity cost pools, and then, using cost drivers, assigns the activity cost pools to goods and services.

Since these are the activities that really create costs, the System of Costs Based on ABC Activities (Activity Based Costing) is a model that enables the distribution and allocation of various indirect costs in accordance with the activities undertaken. This technique was developed to address the issue that standard costs typically create when they inaccurately reflect the value added chain in the creation of a specific good or service, which prevents an accurate estimation of pricing.

The ABC cost model divides and allots indirect costs in accordance with the operations performed during the production of the good or service, tracing the source of the cost to the operation required for not only production but also distribution and sale. The activity is understood as the sequence of operations intended to add value to the good or service during the manufacturing process. In addition to the definition of an activity, it should be noted that the ABC Model is predicated on the idea that activities are what products and services consume, and that activities are what ultimately lead to costs.

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the sum of direct materials and direct labor is called

Answers

The complete direct actual costs, including labor and raw materials, are referred to as prime cost.

What advantages does cost have for business?

To ensure that all expenses are covered and that the organization chooses a figure that will generate a profit, costing is required. The first and most important step is to identify ALL of a company's costs, including manufacturing, sales, management, and overhead costs.

What kinds of expenses do businesses incur?

Costs come in two flavors: fixed and variable. Although both fixed and variable expenses have different effects on the business, both are crucial to its profitability. Definition of the term "volume" will be helpful when discussing expenditures.

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a stock index pays dividends continuously at a rate proportional to its price. the rate is 3% during the next 6 months. afterwards the rate is 1%. andy invests in the index at time 0 and reinvests all dividends by purchasing extra units of the index. after one year, he owns 200 units of the index. if the index price is 30 at time 0, what is the initial cost for andy's position?

Answers

The stock's price is constantly negatively correlated with the frequency of dividend payouts. 8. This method is used to calculate the stock's dividend yield.

Describe stock in your own words.

Any corporation's ownership certificates are known collectively as stocks. On the other hand, a share alludes to a particular corporation's stock certificate. An individual is said to be a shareholder if they possess shares in a specific corporation. Both common and preferred stocks fall under this category.

A stock is a particular type of financial instrument that symbolizes the holder's ownership stake in the issuing company and is frequently traded on stock exchanges.

Even when there is little risk of a company collapsing, stock values can change. Huge company stocks, for instance,

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true or false: imc calls for centralized messaging so that everything a company says and does communicates a common theme and positioning.

Answers

Given statement is true. The integrated marketing communications approach calls for a centralized messaging function so that everything a company says and does communicates a common theme and positioning.

IMC is defined as "a planning process designed to ensure that all label contacts that a client or possibility for a product, service, or organisation are relevant to the that person and remain consistent over time" by the American Marketing Association. "Public Relations (PR) was once the individuals who wrote news releases and dispersed them, or who pitched to the media," says Leigh Dow, communication executive at 48 West Collective in Phoenix. "Nowadays, public relations teams are typically the best at having thought around corners on message strategy and analysing how a message will be interpreted. This analysis pervades the content strategy. Furthermore, the more material is used in a variety of ways, such as media platforms, blog posts, and made contributions content, the much more PR and Creative execution strategy are intertwined."

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suppose that the quantity supplied of pizza exceeds the quantity demanded for pizza. we would expect that:

Answers

We would expect that the price of pizza will decrease to meet the demand. Thus, option B is correct.

The supply and demand theory of economics in microeconomics explains how prices are established in a market. In a competitive market, it is hypothesised that, all other things being equal, the unit price for a particular good or other traded good, such as labour or liquid financial assets, will fluctuate until it settles at a point in which the demand curve (at the current price) will equal the consumer surplus (at the current price), causing an economic equilibrium for price and quantity transacted. The cornerstone of modern economics is the supply and demand theory.

Macroeconomics has also used the aggregate demand-aggregate supply model to show how the equilibrium total output and aggregate price level may be determined.

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Complete question:

Suppose that the quantity supplied of pizza exceeds the quantity demanded for pizza. We would expect that:

the price of pizza will increase.

the price of pizza will decrease.

the supply will decrease to meet the demand.

the demand will increase to meet the supply.

a corporation issued 1000 shares of $100 preferred stock for $90. what was the amount of the discount? question 2 options: $90,000 $1000 $9000 $10,000

Answers

$1000 was the amount of the discount. The difference between the purchase price and the item's par value is the discount. Discounts are different types of price reductions or deductions from a product's cost.

A discount is a reduction in the regular selling price of a good or service, either in terms of money or as a percentage. A product may, for instance, be discounted by $10 from its list price or by 10% from its list price. In a discounted cash flow (DCF) analysis, the discount rate is the interest rate that is used to calculate the present value of future cash flows. This aids in figuring out whether a project's or investment's potential future cost flows will be worth more than the capital investment required to fund them.

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bill jones tree trimming bills his clients for his services. bill's customers are allowed 30 days to pay. amounts owed by these clients are known as

Answers

Bill jones tree trimming bills his clients for his services. bill's customers are allowed 30 days to pay. amounts owed by these clients are known as accounts receivable.

Customers' outstanding debts for goods or services they have received but haven't yet paid for are referred to as accounts receivable. For instance, the amount owing when clients buy things on credit is added to the accounts receivable. It is a debt incurred as a result of a commercial transaction.

Hence the correct answer is accounts receivable.

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A small startup firm has each of the partners contribute $50,000 in capital to help the company make payroll for the next three months. W2 Corp. Needs capital to finance a new product line. It borrows money in the form of long-term bonds underwritten by an investment bank. Citibank issues a loan to Jennifer for the expansion of her flower delivery business. Steve’s grandfather loans him $30,000 to start a small coffee shop in the East Village in Manhattan

Answers

None of the options provided are examples of money market instruments.

Money market instruments are typically short-term investments, such as Treasury bills, commercial paper, and certificates of deposit, that are used to raise funds for businesses and governments. They are generally considered to be low-risk and low-return investments, and are often used as a way to park cash or as a source of short-term funding.

The options provided are examples of different focirms of financing: The small startup firm has each of the partners contributing capital to help the company make payroll for the next three months. This is an illustration of equity financing.

W2 Corp. borrows money by issuing long-term bonds that are underwritten by an investment bank. This is an illustration of debt financing.

Jennifer receives a loan from Citibank to help her grow her flower delivery business. This is an illustration of debt financing.

Steve's grandfather lends him $30,000 to open a small coffee shop in Manhattan's East Village. This is an illustration of debt financing.

Steve's grandfather loans him $30,000 to start a small coffee shop in the East Village in Manhattan. This is an example of debt financing.

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The complete question is :

Each partner in a small startup firm contributes $50,000 in capital to help the company make payroll for the next three months.

W2 Corp. requires capital to fund a new product line. It borrows money through long-term bonds issued by an investment bank. Jennifer receives a loan from Citibank to help her grow her flower delivery business.

Steve's grandfather lends him $30,000 to open a small coffee shop in Manhattan's East Village.

Which of the ones that follow is an example of a market instrument??

rocky mountain bottling company produces a soft drink that is sold for a dollar. at production and sales of 1,000,000 units, the company pays $700,000 in production costs, half of which are fixed costs. at that volume, general, selling, and administrative costs amount to $300,000, of which $50,000 are fixed costs. what is the amount of contribution margin per unit?

Answers

The difference between the selling price per unit and the variable cost per unit is the contribution margin per unit. In the breakeven analysis, which is also known as the cost-volume-profit analysis.

This is used to calculate the breakeven point.

How is commitment edge determined?

Commitment edge is determined as Income - Variable Expenses. The commitment edge proportion is determined as (Income - Variable Expenses)/Income

What is commitment edge versus gross edge?

Commitment edge considers just the variable expenses of making an item or administration, while gross edge thinks about all immediate expenses of creation.

First, figure out all of the variable costs.

($800,000 x 0.50) plus (250,000 - 70,000) equals $580,000 in variable costs.

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what is the present value of a growing perpetuity that has an initial payment of $20,000 one year from now. assume a growth rate of 5% and a rate of return equal to 9%.

Answers

This growing perceptuality has a present value of $420,370. Investors will always receive a predetermined amount of cash flow from Perpetuity.

If the discount rate changes, the perpetuity present value changes. The present value will decrease in tandem with an increase in the discount rate.

In Excel, how do you calculate PV of perpetuity?

A perpetuity series that is considered to be indefinite and is growing at a proportionate rate in terms of periodic payments. As a result, the formula can be summed up like this: PV is D/ (1+r) + D/ (1+g) + D/ (1+r) 2... It is believed that the perpetuity series will continue for an infinite amount of time.

With an example, what is perceptuality?

A growing perpetuity involves cash flows that are not fixed, whereas a perpetuity provides you with fixed cash flows for an infinite period. For instance, a growing perpetuity is an investment in a perpetual fund whose annual payments increase at the same rate.

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does renting or purchasing makes the most sense for the bainters if they live in the house 1 year? 5 years? 10 years? 15 years?

Answers

Whether renting or purchasing makes the most sense for the bainters depends on their individual circumstances, including their financial situation, lifestyle preferences, and the local housing market.

However, in general, here are some general guidelines on when renting or purchasing may make the most sense If the bainters plan to live in the house for only 1 year, it is likely that renting would make the most sense. The costs of buying and selling a house in such a short period of time can be high, and the bainters may not have enough time to recoup these costs through appreciation in the value of the property.

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