constraint.A constraint is a limit or restriction that is placed on a system, process, or behavior to ensure that it operates within certain boundaries.
In the case of Modest Expectations Investment Services (MEIS), the constraint of not allowing customers to sell more shares of a stock than they have in their account is in place to prevent errors and ensure the integrity of the customers' investments. This constraint helps to maintain the accuracy of the system and ensure that customers are only able to execute transactions that are within their account balance. Constraints are often put in place in systems and processes to prevent errors and ensure that they operate in a controlled and predictable manner.
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when prices are rising, the method of inventory valuation that results in the highest relative net cash inflow (including the effects of taxes) is:
Method of Inventory valuation is the process of determining the value of the stock of goods that a company holds for sale. The following are the techniques for inventory valuation that are most frequently employed:
First-In, First-Out (FIFO): This approach makes the assumption that the first items bought are also the first goods sold. Unsold inventory is given a cost based on the most recent purchases.
Last-In, First-Out (LIFO): According to the LIFO approach, the last item bought will be the first item sold. The unsold inventory is given the cost of the earliest acquisitions.
Weighted Average Cost: This method calculates the average cost of all the goods in the inventory and assigns this cost to each unit of inventory.
Specific Identification Method: Under this method, the cost of each individual item of inventory is tracked and assigned to that specific item when it is sold.
Standard Cost Method: This method uses predetermined costs for the products in the inventory, which are adjusted for any variances from the actual cost incurred.
Each of these methods has its advantages and disadvantages, and the choice of method will depend on the nature of the business, the type of goods being held in inventory, and the accounting policies of the company. It is important to use a consistent method of inventory valuation from period to period to ensure accurate financial reporting.
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PLEASE ANSWER FAST 40 POINTS!!!!!
In 2015, the US government brought in $3.2 trillion in revenue. This revenue comes from US taxpayers like you and me. However, the same chart illustrates that the government spent $3.7 trillion, resulting in a nearly $500 billion deficit.
Some experts argue that the best solution to reduce budget deficits is to raise taxes, especially on wealthy individuals. This will result in the US government receiving more revenue. Others argue the answer is to cut spending, especially on wasteful expenditures and unsuccessful government programs.
Before you jump to conclusions, think about some of the issues our country has experienced in the past and the issues we are currently experiencing. Choose a side and defend your argument with at least three specific supporting ideas.
Both expert are right, but, we need to find a balance to manage the budget deficit that the economy is experiencing.
What is the most effective monetary policy to manage budget deficit?Both tax increases and spending cuts can help to address the deficit, and the appropriate solution depends on the specific circumstances and priorities of a given country.
Raising taxes on the wealthy may be necessary to increase revenue and address the deficit, especially if the government is facing significant obligations such as paying for social programs or infrastructure. Cutting spending may be a more effective solution, particularly if the government is spending inefficiently or on programs that are not delivering results.
However, the best approach to reducing budget deficits may involve a combination of both tax increases and spending cuts, along with other measures such as economic growth initiatives and reforms to entitlement programs.
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suppose that brazil can produce 100 pounds of beef or 10 autos and the united states can produce 40 pounds of beef or 30 autos. which country has a comparative advantage at the production of autos?
The United States has a comparative advantage in the production of autos.
To calculate comparative advantage, we can compare the opportunity cost of producing one unit of a good in each country. The opportunity cost is the amount of another good that must be given up in order to produce one more unit of the first good.
For Brazil:
Opportunity cost of producing 1 auto = 100 pounds of beef / 10 autos = 10 pounds of beef per auto
Opportunity cost of producing 1 pound of beef = 10 autos / 100 pounds of beef = 0.1 auto per pound of beef
For the United States:
Opportunity cost of producing 1 auto = 40 pounds of beef / 30 autos = 1.33 pounds of beef per auto
Opportunity cost of producing 1 pound of beef = 30 autos / 40 pounds of beef = 0.75 auto per pound of beef
Comparing the two opportunity costs, we see that the opportunity cost of producing an auto in the United States is lower (1.33 pounds of beef per auto) than in Brazil (10 pounds of beef per auto). This means that the United States has a comparative advantage in producing autos.
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what are examples of demographic forces that can affect an industry? (choose every correct answer.) multiple select question. an increase in interest rates a rise in church attendance a decline in population size a decrease in global sales a decrease in marriage rates
There are examples of demographic forces that can affect an industry are:
A rise in church attendance.A decrease in marriage rates.A decline in population size. Thus, option (b), (c) and (d) is correct. What is industry?The term industry refers to the factory are the manufacturing of the product. The production of the goods making. The process of the raw material are the converted into the finished goods. The labour are the performing the work.
According to the demographic forces that can affect an industry are the main reason is decrease in marriage rates, rise in church attendance, and the decline of the population size.
As a result, the significance of the industry are the aforementioned.
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market sales had $1,200,000 in sales last month. the variable cost ratio was 60% and operating profits were $80,000. what is market's break-even sales volume?
The answer is 800,000$, it is the market's break-even sales volume if the variable cost ratio was 60% and operating profits were $80,000.
What does "market" mean in economics?A market is defined as the total number of purchasers and sellers in the region or area under examination. The region can represent the entire planet, as well as certain states, provinces, or cities. Items traded are valued, costed, and priced in accordance with market forces of supply and demand.
In one words, define a market.Market refers to an arrangement where two or more parties trade commodities, services, and information. A market is ideally a location where two or more parties engage in buying and selling.
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what kind of corporation can be taxed in the same way as a partnership?
lily invested $10,000 five years ago with an insurance company that has paid her 4 percent (apr), compounded semi-annually (twice per year). how much interest did lily earn over the 5 years?
To calculate the interest earned by Lily over the 5 years, we can use the formula for compound interest: A = P * (1 + r/n)^(nt).
let me explain the formula in more detail:
[tex]A = P * (1 + r/n)^(nt)[/tex]
A represents the final amount (principal + interest) after t years.
P is the initial principal, which in this case is $10,000.
r is the annual interest rate, which is 4% or 0.04 in decimal form.
n is the number of times the interest is compounded per year, which is 2 times per year in this case.
t is the number of years, which is 5 years in this case.
Plugging in the values:
[tex]A = $10,000 * (1 + 0.04/2)^(2 * 5)\\A = $10,000 * (1.02)^10\\A = $10,000 * 1.0714456756\\A = $10,714.456756[/tex]
So the total amount Lily has after 5 years is $10,714.456756, which means she has earned $714.456756 in interest over the 5 years.
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as a project manager, you determine the cost for items such as software, tools, labor, and equipment. what budgeting term refers to these types of costs?
Cost budgeting is the technique of making a monetary plan and price range the use of price estimations. A price range is a monetary equipment that specialists can use to control their funds.
Cost budgeting is a form of price range that includes totaling all predicted fees for a fixed period. Project managers frequently use price budgeting whilst making plans new projects. Business executives and monetary specialists can use price budgeting whilst developing budgets for the region or year. These specialists can use a price price range to reading their mission overall performance and spending behaviors.
To create a price price range, specialists use records from price estimates. A price estimate predicts the full fees of every level at some point of a mission. A price price range consists of estimates for the subsequent kinds of fees.
Direct fees: Direct fees are costs that relate to bodily items and offerings used at some point of manufacturing. For example, in a production company, this may consist of materials, manufacturing hard work and transportation fuel.
Indirect fees: Indirect fees are the costs related to widespread commercial enterprise operations. This consists of rent, supervisors' salaries and verbal exchange offerings, which includes net and speak to fees.
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a company purchased a depreciable asset for $25,000 on april 1, year 1. the asset will be depreciated using the straight-line method over its four-year useful life. assuming the asset's salvage value is $2,600, the company should recognize depreciation expense in year 2 in the amount of:
The correct answer to the question above is $5,600.
Step-by-step explanation:
Given data:
Cost of asset: $25,000Estimate useful life: 4 yearsMethod of depreciation: straight-line methodSalvage value: $2,600Depreciation Expense = (Cost - Salvage value) / Estimated useful life
Deprecation Expense = ($25,000 - $2,600) / 4
Deprecation Expense = $22,400/4 = $5,600
The company should recognize depreciation expense in year 2 in the amount of $5,600.
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uppose that there is an annual percent change of 6% in the account's value. the value of the account at any moment is how many times as large as the account's value 1 year earlier? 87 times as large
The value of the account at any moment is 1.06 times as large as the account's value 1 year earlier. The value of the account at any moment is 106% of the account's value 1 year earlier.
a. The value of the account at any moment is 1.06 times as large as the account's value 1 year earlier.
This is because a 6% increase in value would mean that the new value is 106% of the original value, or 1.06 times as large.
b. The value of the account at any moment is 106% of the account's value 1 year earlier.
This means that the new value is 106% of the original value or 106% of the account's value 1 year earlier.
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assuming that the long-run demand for blueberries is the same as the short-run demand, you would expect a binding price ceiling to result in a
If the long-run demand for blueberries is the same as the short-run demand, a binding price ceiling will result in a long-run shortage that is greater than the short-run deficit.
A binding price ceiling is established when the government or a government agency sets the maximum price for a product below the equilibrium price.
The long-term supply of blueberries would be reduced as a result of the contractual price ceiling. There will be a scarcity if the demand in the long and short run is the same.
A first-come, first-served market develops when binding pricing regulations are in effect for years. People will do whatever they can to acquire access to the product or service, including bribing.
Sellers may develop strong preferences and only sell to people or businesses who fulfill those preferences, such as those introduced by a friend or family member or who benefit the seller's business in some way. Furthermore, governments frequently ration items to ensure fair distribution.
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i need help with this 12 mark question I've been trying to attempt this for an hour and pls it would be nice if you can give me the answer in a 12 mark format with context from the text
The importance of the reliability of primary market research data for Fromes are research must have a high degree of validity in order to be trusted. This indicates that the information and supporting data gathered are true.
What do you mean by market research?The systematic collection, recording, and analysis of qualitative and quantitative data about problems related to the marketing of goods and services is known as marketing research.
Primary research aims to address questions that are unique to your business, giving you valuable insight into the crucial issues that have an impact on it. Additionally, the data you gather is yours.
A product's marketing is facilitated by its dependability. In a market that is extremely competitive, the marketer will be better able to sell it with confidence and success.
Therefore, the importance of the reliability of primary market research data for Fromes are research must have a high degree of validity in order to be trusted. This indicates that the information and supporting data gathered are true.
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according to the human capital architecture, individuals with unique skills that are not directly related to the company's core business strategy are known as .
Individuals with special talents that are unrelated to the company's primary business plan are referred to as Complementary/Alliance Partners in accordance with the human capital architecture.
A resource and capability must be valuable, uncommon, unique (there are no replacements), and owned by the organisation despite being expensive to copy in terms of either time or money and both order to provide a sustained competitive advantage. Some people go into great depth. However, two fundamental categories of HR strategy can be distinguished, namely: 2) Specific methods relating to the various facets of human resource management, such as learning & development and reward. 1) General strategies, such as high-performance working. An organisation owns its human capital, which is one of its fundamental competencies.
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the common agricultural policy (cap) of the eu subsidizes european farmers for producing certain goods. this is an example of and runs counter to free trade policies.
European farmers are given subsidies through the EU's Common Agricultural Policy (CAP) to produce specific goods. In opposition to free trade policy, this is a case of protectionism.
Target Corporation was taking a proactive approach to the global retail environment in 2013 whenever it tried to enter the Canadian market in such an effort to position itself as a worldwide company.
General Electric (GE) is a business that comprehends globalization since every year it reinvents itself through reorganising in response to shifts in international diplomacy, socioculture, and technology.
Today, many businesses manufacture and market their products or services using both made up entirely and contract workers.
The term "globalization" describes the blending and interconnection of both the financial, technical, social, and democratic institutions across several geographical areas.
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US-Mobile manufactures and sells two products, tablet computers (60% of sales) and smartphones (40% of sales). Fixed costs are $700,000, and the weighted-average contribution margin per unit is $100. How many units of each product are sold at the break-even point
US-Mobile with fixed costs as $700,000, and the weighted-average contribution margin per unit is $100 , would need to sell 4,200 tablet computers and 2,800 smartphones at the breakeven point.
To calculate the break-even point in unit sales, we need to first determine the total contribution margin per unit, which is the selling price per unit minus the variable costs per unit.
If the weighted-average contribution margin per unit is $100, then we can assume that the weighted-average selling price per unit is $100 + the weighted-average variable costs per unit. Next, we can use the following formula to calculate the break-even point in unit sales:
Break-even point in unit sales = Fixed costs / Contribution margin per unit
Plugging in the given values:
Break-even point in unit sales = $700,000 / $100 = 7,000 units
Since tablet computers make up 60% of sales and smartphones make up 40% of sales, we can calculate the number of each product sold at the break-even point as follows:
Tablet computers: 7,000 units * 60% = 4,200 units
Smartphones: 7,000 units * 40% = 2,800 units
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what is one of the three factors a company n... what is one of the three factors a company needs to consider when creating a market information system? multiple choice demographics information needs diversity technology needs flexibility
Information needs is one of the three factors a company needs to consider when creating a market information system.
The other two factors are data sources and technology. Information needs are the specific pieces of information that a company needs to collect in order to make informed decisions.
This includes data on customer behavior, market trends, competitive analysis, and more. Companies must then determine which data sources can provide the information needed and what technology can be used to collect, store, and analyze the data.
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edgar opened a deposit account. in the first month, he made an initial deposit of $3200. he plans to contribute $175 a month after his initial deposit. the account does not pay any interest. after how many months will he have a total of $6000?
Following 16 months he has a complete of $6000.We have given that the underlying store is $3200
He intends to contribute $175 consistently.
Let no of the month he store $175=x
So as indicated by the question
= 3200 + 175x = 6000
To compose condition from Given information
Presently to address the condition
= 3200 + 175x = 6000
= 175x = 6000 - 3200
= 175x = 2800
= x = 2800/175
= x = 16
So 16 months he store 175 to have a complete of 16000.
A deposit is cash you put into your financial balance. You ought to store cash in a bank to make reserve funds and procure revenue from it. An interesting store is made for reserves you can pull out whenever.
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which assumption(s) allow(s) us to draw indifference curves? a. that the more we have of a good, the less we are willing to give up to get even more of it b. rankability and completeness c. cardinal measurement and cardinal ranking d. free disposal and more is better
The correct options are A and B.
A) that the more we have of a good, the less we are willing to give up to get even more of it.
B) rankability and completeness.
Preferences are complete. According to economists, consumers make decisions about which products to purchase based on a set of preferences. Three requirements must be met by these preferences: completeness, transitivity, and the maxim "more is better." When customers are given the option to choose between any two bundles of goods, they should always be able to rate them. This is what I mean by completeness. This eliminates the potential that buyers will be unable to choose the best bundle. Completeness necessitates that the user be able to rate every relevant state in the world—a state is relevant if it has the potential to be selected by the user.
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a sporting goods store decides to lower prices on high-end sports equipment. how could this change affect market equilibrium?(1 point)
Based on economic concepts, decrease in price of high-end sports equipment could have effects on market equilibrium.
Effect of decrease in price in market equilibrium?A decrease in price of high-end sports equipment could have the following effects on the market equilibrium are Increase in quantity demanded: If the price of high-end sports equipment decreases, consumers may feel that the equipment is now more affordable and therefore may demand more of it, Shift in the demand curve: The decrease in price would cause the demand curve to shift to the right, reflecting an increase in the quantity demanded at each price level and New market equilibrium: The new market equilibrium would occur at a higher quantity of high-end sports equipment sold and a lower price. The store's decision to lower prices may result in a higher total revenue due to the increase in quantity demanded.
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if the intersection of the short-run aggregate supply and the aggregate demand curves also intersects the long-run aggregate supply curve, then the economy is:
If the intersection of the short-run aggregate supply (SRAS) and aggregate demand (AD) curves intersects the long-run aggregate supply (LRAS) curve, then the economy is in long-run equilibrium.
This means that the economy has reached a state where both the demand for goods and services and the supply of goods and services are in balance, and there are no upward or downward pressures on prices.
In long-run equilibrium, both the SRAS and LRAS curves are vertical and coincident, meaning that the economy has reached its full potential output. The LRAS curve represents the potential output of an economy in the long run, when all factors of production, including capital and labor, have fully adjusted to changes in market conditions.
In this state of long-run equilibrium, the economy is producing at its full potential, and there is no excess demand or excess supply. The level of output and prices are stable, and any short-term fluctuations in the economy will be corrected by market forces.
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a price-weighted index consists of firm a and firm b common stocks. the price of firm a common stocks increased from $100 to $120. the price of firm b common stocks decreased from $100 to $80. what is the return on this price-weighted index?
With the price of firm a common stocks increased from $100 to $120 and the price of firm b common stocks decreased from $100 to $80 , the return of price-weighted index is 0%.
A price-weighted index is calculated by adding up the prices of each stock in the index and dividing by the number of stocks. The return on the price-weighted index is determined by comparing the current index value to the previous index value.
Let's say the price-weighted index consists of two stocks, firm A and firm B. Initially, the prices of firm A and firm B are $100 and $100, respectively, and the index value is ($100 + $100) ÷ 2 = $100.
After the changes, the price of firm A increases to $120 and the price of firm B decreases to $80. The current index value would be ($120 + $80) ÷ 2 = $100.
To determine the return on the price-weighted index, we can calculate the percentage change in the index value:
(($100 - $100) ÷ $100) x 100 = 0%
In this case, the return on the price-weighted index is 0%, indicating that the index value has not changed. This is because the price increase of firm A was offset by the price decrease of firm B.
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the market for yoghurt is initially in equilibrium. yoghurt producers successfully advertise to encourage yoghurt consumption. at the same time, yoghurt producers exit the market. standard demand and supply analysis tells us that the:
The market for yoghurt is initially in equilibrium. Yoghurt producers successfully advertise to encourage yoghurt consumption. At the same time, yoghurt producers exit the market. The standard demand and supply analysis that the increase and decrease respectively.
The supply analysis is the analysis that the study of the buyers and sellers performance in the marketplace that how they interact and determine the transaction prices and quantities.
If the producers exist the market after the advertisement then the demand of products increase and the supply curve tends to zero. The type of supply analysis is market supply, short-term supply, long-term supply, joint supply and the composite supply analysis.
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the heckscher-ohlin theorem predicts group of answer choices which goods will be exported. which factors are abundant. who benefits and who loses from trade. the income distribution effects of trade.
Option (a), Exports of goods are anticipated by the Heckscher-Ohlin theorem.
What export prediction is made by the Heckscher-Ohlin theory?The Heckscher-Ohlin theorem forecasts the international commerce pattern based on the unique characteristics of each nation. It asserts that, as opposed to a country with an abundance of labor exporting goods with a high level of labor, a country with an abundance of capital exporting goods with a high level of capital (Suranovic, 2010).
How does the Heckscher-Ohlin theory feel about the advantages of trade?The Heckscher-Ohlin theory holds that commerce allows each nation to specialize. Each nation trades goods that are better suited for domestic production for the commodities it is best suited to produce abroad.
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5c. what major advantage does a foreign joint ve... what major advantage does a foreign joint venture have?
A foreign joint venture can provide a unique opportunity for a foreign company to enter a new market and gain a competitive advantage while minimizing the risks and costs associated with going it alone.
A foreign joint venture has several major advantages, including:Access to local market knowledge and resources: By partnering with a local company, a foreign joint venture can tap into the local partner's expertise and resources, such as market knowledge, customer connections, distribution networks, and government relationships.
Reduced risk and investment: A joint venture enables the partners to share the risks and costs of entering a new market, making it less expensive and less risky for both parties.
Enhanced competitiveness: A joint venture can bring together the strengths of both partners, such as technology, management expertise, and marketing capabilities, to create a more competitive offering in the local market.
Compliance with local regulations: Partnering with a local company can help the foreign joint venture comply with local laws, regulations, and cultural norms, making it easier to succeed in the market.
Improved relationships with local stakeholders: By partnering with a local company, a foreign joint venture can improve its relationships with local stakeholders, such as suppliers, customers, and government agencies, and increase its reputation in the market.
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how can the problem statement be improved ? a. by making it time bound b. by addressing decision makers c. by addressing constraints and boundaries d. by making it more specific and measurable
The problem statement identifies the management issue that must be handled by a choice, while the essential objectives indicate the ideal outcomes of a wise choice and the options the possible courses of action.
The issue that has to be resolved is succinctly described in the problem statement. In process improvement, identifying the issue is a crucial first step in problem solutions. According to the proverb, "a well-defined issue is a problem half-solved." Employers value problem-solving abilities because they demonstrate a variety of other qualities, including logical thinking, creativity, resilience, inventiveness, lateral thinking, and drive. Both in your professional and personal life, it is an essential talent.
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the price elasticity of demand for fresh cilantro has been estimated to be 2.22. if a new insecticide and fertilizer treatment yields a 20% increase in the nation's fresh cilantro crop, how will that affect total revenue from fresh cilantro, all other things equal?
If the price elasticity of demand for fresh cilantro has been estimated to be 2.22 and if a new insecticide and fertilizer treatment yields a 20% increase, the total revenue will increase.
The quantity sought for a good is measured according to its price elasticity of demand. Almost all goods see a decrease in quantity demanded when prices rise, however certain goods experience this decrease more than others. When a price increases by while all other factors remain constant, the price elasticity provides the percent change in quantity required. If the elasticity is negative, a increase in price results in a decrease in amount demanded. Other elasticities quantify how changes in other factors affect the quantity needed. Changes occur in the demand for consumer income's income elasticity. A somewhat elastic demand means that the quantity of a service or product needed will alter depending on the price of that product or service. When there are numerous alternatives, a good or service is often considered to have substantial price elasticity.
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the fha allows second mortgages to be acquired on the collateral property, but the second mortgage must not contain loan-to-value limits. a prepayment penalty. maturities in excess of five years. variable payments.
The FHA allows second mortgages to be acquired on the collateral property, but the second mortgage must not contain loan-to-value limits prepayment penalty. Some lenders charge a prepayment penalty if you pay off all or part of your early.
You would have agreed to a prepayment penalty when you closed on your home if you had one. A homeowner decides to refinance a two-year-old mortgage with a $250,000 remaining balance. If the prepayment penalty is 4%, the homeowner would be required to pay $10,000 to the original lender for paying off the mortgage early. A mortgage prepayment penalty is a fee charged by some lenders if you pay off all or part of your mortgage loan early.
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most marketing executives have a utilitarian response to ethical problems. in those situations, a utilitarian model is illustrated by
While approaching an ethical issue in marketing, the utilitarian tradition would consider: the benefits and costs of each exchange. i.e. Option B
Utilitarianism is a hypothesis of profound quality that supporters activities that encourage satisfaction or joy and go against activities that cause misery or damage. When coordinated toward making social, financial, or political choices, a utilitarian way of thinking would go for the gold of society all in all.
Utilitarianism would agree that that an activity is correct in the event that it brings about the bliss of the best number of individuals in a general public or a gathering. Utilitarianism is a practice of moral way of thinking that is related with Jeremy Bentham (1747-1832) and John Stuart Plant (1806-1873), two late eighteenth and nineteenth century English savants, financial experts, and political masterminds. Utilitarianism holds that an activity is correct assuming it will in general advance bliss and wrong on the off chance that it will in general create trouble, or the converse of joy — in addition to the joy of the entertainer yet that of everybody impacted by it.
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Correct Question -
While approaching an ethical issue in marketing, the utilitarian tradition would consider:
A. the degree to which individuals freely participate in an exchange.
B. the benefits and costs of each exchange.
C. other values that are affected by the exchange.
D. personal characters of the parties that are involved in the exchange.
the esg framework provides a lens for companies to evaluate priorities in these three areas: group of answer choices environmental, social, governance. external, social, government. execution, supply chain, global marketing. exchange, stakeholders, goals. ethics, social responsibility, government.
The correct option is A, The ESG framework provides a lens for companies to evaluate priorities in these three areas Environmental, Social, Governance.
The ESG framework is a set of Environmental, Social, and Governance (ESG) indicators used by investors and financial analysts to assess the sustainability and ethical impact of companies and investments. The ESG framework aims to provide a holistic and comprehensive view of the financial and non-financial performance of a company, taking into account various factors that are considered critical to the long-term viability of a business.
Environmental indicators look at a company's impact on the environment, such as its carbon footprint, energy efficiency, and waste management. Social indicators focus on how a company treats its employees, customers, and other stakeholders, including issues such as human rights, diversity and inclusion, and health and safety. Governance indicators evaluate the company's management, board of directors, and governance processes, looking at areas such as transparency, risk management, and corporate responsibility.
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Complete Question: -
The ESG framework provides a lens for companies to evaluate priorities in these three areas:
a. environmental, social, governance.
b. external, social, government.
c. execution, supply chain, global marketing.
d. exchange, stakeholders, goals.
e. ethics, social responsibility, government.
virgil corporation has a selling price of $39 per unit, and variable costs of $30 per unit. when 14,000 units are sold, profits equaled $27,000. how many units must be sold to break even?
In order to calculate the number of units that must be sold to break even, we must use the formula Break Even Point = Fixed Costs / (Selling Price - Variable Costs).
In the case of Virgil Corporation, the fixed costs are $27,000 and the selling price is $39 per unit with the variable costs of $30 per unit. We can then plug these values into the equation and solve for the break even point. 27,000 / ($39 - $30) = 6,750 units. This means that Virgil Corporation must sell 6,750 units in order to break even.
To break even, a company must sell its products in a quantity such that its total sales revenue is equal to its total costs. This is known as the break even point. In order to calculate the break even point, we must use a combination of the selling price, variable costs, and fixed costs associated with the product. Here, we can determine the break even point for Virgil Corporation by solving the equation Break Even Point = Fixed Costs / (Selling Price - Variable Costs). By plugging in the given values, we can determine that Virgil Corporation must sell 6,750 units in order to break even.
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