the stock of flop industries is trading at $47. you feel the stock price will decline, so you short 900 shares at an initial margin of 80 percent. if the maintenance margin is 40 percent, at what share price will you receive a margin call?

Answers

Answer 1

You will receive a margin call at a share price of $60.43 if the maintenance margin is 40%.

Margin Call Price = (Sales Proceeds + Initial Deposit) / [Number of Shares × (1 + Maintenance Margin)]

Proceeds from short sale = 900 × $47 = $42,300

Initial deposit = $42,300 (.80) = $33,840

Account value = $42,300 + $33,840 = $76,140

Margin call price = $76,140 / [900 × (1+.40)] = $60.43

What Is the Maintenance Margin?

Maintenance margin, or the minimum equity an investor must maintain in a margin account after a purchase has been made, is required to be established at 25% of the entire value of the assets in the account by the Financial Industry Regulatory Authority (FINRA).

What is a maintenance margin call, exactly?

When a margin call is issued by a broker, the investor is asked to increase the amount of money or securities in their account to bring it up to the Maintenance margin, which is the minimum amount that must be maintained to prevent a loss.

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Related Questions

What happens to the equilibrium price and quantity when demand increases and simultaneously supply decreases, and the relative size of the shifts is not known?.

Answers

What will happen is that the equilibrium quantity may rise, fall, or remain the same, and the equilibrium price will fall.

The equilibrium quantity of a good is that which corresponds to the point where the supply and demand curves intersect in the market, at a given price. Therefore, we can say that it is the quantity that producers are willing to sell, and consumers are willing to buy. All this at a price that allows both parties to agree. This, in turn, is the equilibrium price of a perfectly competitive market. In this theoretical situation there is no shortage or excess in the market.

In it, there is a supply curve (O) and a demand curve (D). For simplicity, we use the equation of the line. Both represent all producers and consumers. Therefore, they are the production and consumption preferences of a type of good.

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windswept, incorporated, has 310 million shares of stock outstanding. its price-earnings ratio for 2021 is 20. what is the market price per share of stock?

Answers

The calculated market price per share is $31.61.

What is price earning ratio ?

The market price per share to earnings per share ratio is what this ratio is known as (EPS). By comparing the market price of the share to the fundamentals of the business, such as net income, it provides an indication about the share's value. A mature business typically has a low P/E ratio. In contrast, it is typically high for a business that is expanding.

The market price of a share is divided by the earnings per share to determine the P/E ratio. The market price of a share is divided by the earnings per share to determine the P/E ratio. As an illustration, the market price of an ABC Company share is Rs 90, while the share's earnings are Rs 9. P/E = 90 / 9 = 10.

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Hillman corporation reported a decrease in accounts receivable of $391,216. This is best defined as a _________ of cash on the _______________ segment on the statement of cash flows.

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Hillman Corporation reported a decrease in accounts receivable of $391,216. This is best defined as a source of cash on the operating activities segment on the statement of cash flows.

What is Cash Flow Statement?

A cash flow statement is a type of financial statement that gives total information about all of the cash inflows a business makes from continuing activities and outside investment sources. It also includes any cash outflows made within a specific time period to cover investments and business expenses. Because it tracks the cash generated by the business in three key ways—through operations, investments, and financing—the cash flow statement is seen to be the most understandable of all the financial statements. Net cash flow is the total of these three components. An important document that gives interested parties information about all of a company's activities is the cash flow statement.

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BRIEF EXERCISE 3. 2 Recording Transactions in a Journal & LO3-3LO3-4, GLO3-5

Record the following selected transactions in general journal form for the Weston Gastroenterology Glinic. Include a brief explanation of

the transaction as part of each journal entry.

Page 123

May 1

May 4

May 12

May 19

The clinic Issued 1,000 additional shares of capital stock to Doctor Weston at $75 per share.

The clinic purchased scoping equipment. The equipment cost $90,000, of which $30,000 was paid in cash; a note!

Issued a check for $2. 400 In full payment of an account payable to Leah Laboratories.

Purchased office supplies on account for $240. Payment is due in full by June 10.

May 25 Collected a $15,000 account receivable from the Goosinger Medical Insurance.

May 31 Declared and paid a $50,000 cash dividend to stockholders.

Answers

The journal entry for the Weston Gastroenterology Glinic will be as follows: May 1 Bank debit to shares 75000, May 4 Scoping equipment Ac. debit to cash Ac. 30000 to amount outstanding 60000.

.

More about journal entry :

The date, the amount to be credited and debited, a brief description of the transaction, and the accounts involved are all included in each journal entry along with other information pertinent to a single business transaction. Depending on the business, it could include a list of the impacted subsidiaries, tax information, and other details. Other Journal Entries are as follows:

May 12 Leah Ac. debit to bank ac. 2400,

May 19 Office supplies Ac. debit to Amount outstanding 240

May 25 Account receivable Ac. debit to Goosinger Ac. 15000

May 31 Stockholders Ac. debit to cash Ac. 50000

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This is the difference between the interest rate on a us treasury bond and a corporate bond of the same profile—that is, the same maturity and marketability.

Answers

Default Risk Premium (DRP) is the difference between the interest rate on a us treasury bond and a corporate bond.

What is marketability?

In the field of economics, a market is a collection of mechanisms that allow for the exchange of goods and services between parties. The majority of markets rely on sellers providing their goods or services to purchasers in exchange for money, however parties may exchange goods and services by barter.

Therefore,

This is the difference between the interest rate on a us treasury bond and a corporate bond of the same profile—that is, the same maturity and marketability.

Default Risk Premium (DRP) is the difference between the interest rate on a us treasury bond and a corporate bond.

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Technological advancements have led to lower prices and an increase in the sale of color laser printers. how does this affect the market for traditional inkjet printers?

Answers

If Technological advancements have led to lower prices and an increase in the sale of color laser printers. how it affect the market for traditional inkjet printers is: a. The demand curve for laser printer ink cartridges shifts to the right.

What is demand curve?

Demand curve can be defined as the curve that help to show the price of products in the market and the amount that are demanded at a specific period of time.

Due to technological advancements this had led to demand curve for laser printer ink cartridges  to shifts to the right.

Therefore If Technological advancements have led to lower prices and an increase in the sale of color laser printers. how it affect the market for traditional inkjet printers is: a. The demand curve for laser printer ink cartridges shifts to the right.

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The complete question is:

Technological advancements have led to lower prices and an increase in the sale of color laser printers. How does this affect the market for laser printer ink cartridges?

a. The demand curve for laser printer ink cartridges shifts to the right.

b. The demand curve for laser printer ink cartridges shifts to the left.

c. The quantity of laser printer ink cartridges demanded increases.

d. The quantity of laser printer ink cartridges demanded decreases.

Insurance is a financial risk that allows a

Answers

Answer:

The insurance risk class allows insurance companies to determine the amount of coverage needed, as well as how much that coverage should cost.

Hope it helps! :)

Elasticity of demand is closely related to the slope of the demand curve. The more responsive buyers are to a change in price, the.

Answers

The more responsive buyers are to a change in price, the flatter the demand curve.

The types of chart.

In Economics, there are two main types of chart that can be used to illustrate the relationship between the total quantity of goods or services that are demanded by consumers and the total quantity of goods or services that were supplied by a manufacturer (producer) at a particular price and these include the following:

Supply curve (schedule)Demand curve (schedule)

What is the price elasticity of demand?

The price elasticity of demand measures the responsiveness of the quantity demanded by a consumer with respect to a specific change in price of the product (good), all things being equal (ceteris paribus).

Generally speaking, the price elasticity of demand and the slope of a demand curve are closely related. This ultimately implies that, the more responsive buyers (consumers) are to a change in price, the flatter would be the demand curve.

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Complete Question:

Elasticity of demand is closely related to the slope of the demand curve. The more responsive buyers are to a change in price, the ______________ the demand curve.

a. steeper

b. further to the right

c. flatter

d. closer to the vertical axis

assume that abc’s land and buildings had a book value of $1,000,000 and fair value of $1,200,000. what is the value of lands and buildings reported on the consolidated balance sheet after acquisition? a. $1,600,000 b. $1,800,000 c. $1,900,000 d. 2,100,000

Answers

Credit to Additional Paid-in Capital is $1,800,000

What is additional paid in capital ?

As the name suggests, additional paid-in capital solely refers to the sum paid beyond the par value of shares of stock issued during an initial public offering (IPO). In the SE area of the balance sheet, both of these items are listed next to one another.

Additional paid-in capital, as used in accounting, is the worth of a company's shares over the price at which they were initially issued. Both regular and preferred shares are subject to this. For illustration, a business might price its shares at $1 each. Investors might be ready to pay $2 per share to invest in the business, though.

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a company has net income of $195,000, a profit margin of 8.3 percent, and an accounts receivable balance of $134,370. assuming 70 percent of sales are on credit, what is the company’s days’ sales in receivables do not hard code values into your calculations

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a company has net income of $195,000, a profit margin of 8.3 percent, and an accounts receivable balance of $134,370. assuming 70 percent of sales are on credit, The company's days' sales in receivables is 24.33 days.

What are sales?

An exchange of goods or services for money or other assets is known as a sale and involves two or more parties. A sale in the financial markets refers to a contract between a buyer and a seller that details the cost of a security and its delivery in exchange for a predetermined payment.

By definition, "sales" includes all actions taken to market a good or service to a customer or business. But it means so much more in actuality. The process of successfully closing a deal requires a lot of work, from finding prospects to developing relationships with clients to offering them solutions.

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During the year, smite company declared and paid dividends in the amount of $50,000. as part of the closing process, smite should?

Answers

As part of the closing process, smite should: debit retained earnings and credit dividends

What are the appropriate journal entries for dividends declaration?

When dividends payable to shareholders are declared, we would debit retained earnings, note a debit income account decreases and that the dividends are funded from the retained earnings.

Besides, we would credit dividends payable because the dividends are obligation upon Smite company until paid in cash, in other words, the dividends payable account would be credited initially and debited when paid, this is different from the actual cash payment of dividends which requires that the dividends payable account be debited as a decrease in liability and cash account be credit as a reduction in assets, since cash is a current asset of the company

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symantec provides a , which is a return of part of the purchase price of a product to purchasers who return a copy of their receipt and a part of the product container.

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pattern bargain rebate point-of-purchase cut price is a return of part of the purchase rate of a product to clients who return a reproduction of their receipt and a section of the product container.

What is a POS rebate?

Point-of-sale (POS) rebates are one feasible advantage graph solution. POS rebates directly share with patients the discounts that PBMs negotiate with manufacturers.

A latest survey of large employers by using the National Business Group on Health (NBGH) suggests this alternate may be coming.

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Customers arrive at a checkout counter in a department store according to a poisson distribution at an average of seven per hour. during a given hour, what are the probabilities that:________

Answers

From the information given in the Poisson Distribution, the probability that  that no more than three customers arrive that is P (X≤3) = 0.0817.

What is a Poisson Distribution?

The Poisson distribution is a discrete probability distribution in probability theory and statistics that articulates the likelihood of a specific number of events happening in a fixed interval of time or space if these events occur with a particular frequency mean rate and regardless of the time since the last event.

What Are the Poisson Distribution's Assumptions?

To be correct, all events must be independent of one another, the pace of occurrences must be steady across time, and events cannot occur concurrently. Furthermore, the mean and the variance will be equal.

What is the justification for the above result?

According to a Poisson distribution, seven people come at a checkout counter in a department store every hour on average. i.e λ=7

Probability (P) that no more than three customers arrive is notated as P(X≤3)

= P(X=0) + P(X=1) + P(X=2) + P(X=3)

= Poisson (3,7,1)  

= 0.0817

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Full Question:

Customers arrive at a checkout counter in a department store according to a Poisson distribution at an average of seven per hour. During a given hour, what are the probabilities that no more than three customers arrive?

In the customer intimacy zone, what type of innovation uses the strategy of improving existing products in existing markets by modifying a single dimension in order to reawaken customer interest in increasingly commoditized categories?.

Answers

The type of innovation that uses a strategy to improve existing products in the market by modifying one dimension to revive customer interest in categories that are increasingly being commodified is customer intimacy.

Business is not just about attracting new customers. More than that, you also need to retain existing customers so that they continue to choose your brand. This is not an easy thing. You need to understand customer problems, needs, and wants.

One way you can do is increase customer intimacy. In short, customer intimacy is a business strategy carried out by paying high attention to customer needs. In other words, you need to get to know your customers more deeply. You can find out the habits, desires, and feelings of customers when using your product or service.

It doesn't stop there; you also need to measure the suitability and priorities of the company for these needs. After that, you can make decisions to meet the customer's specific needs.

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A company that competes on price and focuses intensely on operations efficiency uses a? a. focus strategy. b. cost strategy. c. integration strategy. d. differentation strategy.

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A company that competes on price and focuses intensely on operations efficiency uses a cost strategy. So correct answer is option b.

Businesses can use the best-cost strategy as a tool to offer their customers high-quality goods at competitive prices. This strategy, when used properly, may make businesses stand out from the crowd. You can maintain client satisfaction by learning when to use a best-cost strategy. In this post, we study the best-cost method, look at why it's beneficial to employ one, and look at the difficulties and advantages of doing so. A best-cost approach aims to offer distinctive, high-quality goods or services at the lowest cost.

The question is incomplete, Complete question is:

A company that competes on price and focuses intensely on operations efficiency uses a

a. differentiation strategy.

b. focus strategy.

c. cost strategy.

d. integration strategy.

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Marketers that set unrealistically high consumer expectations of a product through advertising, personal selling, or other types of promotion may generate higher initial sales, but it will eventually result in ________ if the product fails to achieve these expectations.

Answers

Marketers that set unrealistic high consumer expectations of a product through advertising, personal selling, or other types of promotion may have higher initial sales, but it will eventually result in post purchase dissatisfaction if the product fails to achieve these expectations.

Advertising is known as a tactic used to draw the public's attention to a certain commodity or service. A product, brand, or service is advertised to a viewing audience in order to catch their attention, encourage interaction, and increase sales.

Post-purchase dissatisfaction refers to a customer's level of discontent after purchasing a product or service from your online business. Customers could regret their purchase if they believe the product's quality falls short of their expectations.

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you found out that now you are going to receive payments of $7,500 for the next 16 years. you will receive these payments at the beginning of each year. the annual interest rate will remain constant at 14%. what is the present value of these payments?

Answers

53566 is  the present value of these payments.

PVAn= 7500 x (1- 1 divided by (1+0.14)^16)

all divided by 0.14 =46988

PVA(DUE)n= 46988 x (1+0.14)= 53566

What is present value?

The idea of present value holds that a sum of money is worth more today than it will be in the future. In other words, money received in the future is not as valuable as money received now. The value of $1,000 today is greater than $1,000 in five years.

The present value calculation can be used to determine the value of a property today expected to earn at least the projected stream of cash flows in the future, or the amounts that must be invested today in order to reap desired sums at later dates.

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All of the following are examples of enumerated powers except? a) coining money b) creating a national bank c) establishing post offices d) maintaining a navy

Answers

Answer:

B should be it :D btw can i have brainlyest

Explanation:

All of the choices given are examples of enumerated powers EXCEPT for establishing a national banking system. These powers allow the government to make more bills and create bills is needed. They can also regulate the value of money. They cannot establish a national banking system. The correct answer is B.

Explanation:

The ________ created by porter states that firms should create new, more efficient business processes that integrate the activities of all departments involved in a value chain.

Answers

Porter's business process design recommends that companies develop fresh, more effective business procedures that integrate the operations of all the departments engaged in a value chain.

What exactly is a value chain?A value chain is a methodical corporate strategy for taking a good or service from conception to completion.Value chains assist businesses in being more efficient so they can provide the most value for the least amount of money.A value chain's ultimate objective is to provide a business a competitive edge by boosting productivity and controlling expenses.The five major activities and four supporting activities of a corporation are examined under the value-chain theory.It's essential for businesses to maintain client confidence and security so they can keep them as loyal customers in addition to making sure production processes are seamless and effective.

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A corporation is a legal with authority to act and have liability separate from its owners.

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A corporation is a separate legal entity with the authority to act and has liability separate from its owners.

What is a separate legal entity?

Separate legal entities (SLEs) are specific kinds of legal entities with detachable responsibilities that are recognized in the US. Any type of business, such as a corporation or limited liability company, is set up as an SLE to be legally distinct from the owner or individual.

A company may have some of the same legal rights as an individual if it is a separate legal entity. It can, for instance, make contracts, bring legal action, and be sued, as well as own property. A partnership or sole proprietorship lacks a distinct legal entity.

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the four marketing management philosophies are .a. production, price, market, and socially responsible orientationsb. sales, distribution, market, and consumer-focused orientations

Answers

Four marketing management philosophies are Production orientation, Sales orientation, market orientation, Societal marketing orientation

What is a marketing operation?Marketing operation is the organizational discipline that focuses on the practical operation of marketing exposure, ways, and styles inside enterprises and associations, and the operation of an establishment's marketing resources and exertion.Marketing operation employs tools from economics and competitive strategy to anatomize the sedulity terrain in which the establishment operates.What is the main end of marketing?Marketing aims to deliver standalone value for prospects and consumers through content, with the long-term thing of demonstrating product value, strengthening brand dedication, and ultimately adding deals.

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Sae wanted to buy a t-shirt for $45. She chose to wait for the t-shirt to go on-sale instead. Fortunately, she did not have to wait long. Her shirt went on sale the very next week for $10. How much did sae save on the price of her shirt and sales taxes by waiting one week. The sales tax in her state is 9%.

Answers

If the sales tax in her state is 9%, Sae save on the price of her shirt and sales taxes by waiting one week by $ 3.15

Earlier Price             = $45

New Price                 = $ 10

Saving on the Price = Earlier Price - New Price

                                 = $ 45 - $ 10

                                 = $ 35

Sales Tax Saving     = $ 35 * 9% = $ 3.15

Sales Tax Savings refers to all Sales Tax Exemption savings achieved by or for the benefit of the Company, including any savings achieved by any Agent on the Company's behalf, in accordance with this Lease Agreement and each Sales Tax Agent Authorization Letter granted in relation to the Facility.

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given the following information, determine net income. the retained earnings balance on january 1, 20y8, is $56,000; dividends during 20y8 total $18,350; and the retained earnings balance at december 31, 20y8, is $71,850.

Answers

Net Income : (Retained earnings at the end of the year -  Retained earnings at the beginning of the year) + Dividends

Net Income : ($71,850 - $56,000) + $18,350

Net Income : $15,850 + $18,350

Net Income : $34,200

Net income refers to the income of an individual or business after deducting expenses, allowances and taxes. In commerce, net income is what is left in the business after all expenses such as salaries and wages, cost of goods and raw materials, and taxes.

Is Net income the Same as Profit?

Profit simply means the remaining income minus expenses. It exists at multiple levels, depending on the type of cost that is deducted from the revenue. Net income, also known as net profit, is a single number that represents a particular type of profit. Net income is the famous last line of financial statements.

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a single alternative decision structure tests a condition and then takes one path if the condition is true, or another path if the condition is false.

Answers

In a single alternative decision structure, if a condition is tested and found to be true, one option is taken; if found to be false, a different path is taken.

This statement is False.

The single alternative selection structure is what.

The simplest decision control structure is this one. It only contains a statement or group of assertions that follow the "true" route. The statement, or block of statements, of the structure are performed if the Boolean expression evaluates to true; else, the statements are skipped.

Dual alternative selection structure: what is it?

In a dual alternative decision structure, there are two possible directions in which to proceed: if one of two conditions is true, one path is followed; if the other is false, a different path is followed.

In Python, what is a single alternative decision structure?

In a single alternative decision structure, if a condition is tested and found to be true, one option is taken; if found to be false, a different path is taken.

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To determine if an opportunity is attractive or unattractive for a firm, marketers can use an analysis of the external and internal environments such as through.

Answers

Marketers can use an analysis of the external and internal environments such as through SWOT analysis.

SWOT stands for (Strength, Weakness, Opportunities & Threats), with the help of this method business organizations try to identify the internal strength and weaknesses of and organization and the presence of opportunities and threats in external environment. The two segments, strength and weakness are internal to the company, and which can be controlled and made better, whereas opportunities and threats are a result of dynamic external environment which is not in the hand of the organization and depend upon various factors such as economic conditions in the country, government rules and regulations, social factors etc.

The businesses are always required to scan their environment regularly to identify the threats and opportunities and at the same time should also work on their strengths and weaknesses. SWOT analysis is really a helpful measure that can help a business to combat its problems and will help it in making an efficient decision.

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Ronda’s cake store earned $3,750 in total revenue last month when it sold 125 cakes. This month it earned $3,600 in total revenue when it sold 90 cakes. The price elasticity of demand for ronda’s cake store is.

Answers

The price elasticity of demand for Ronda’s cake store is 0.125.

What is the price elasticity of demand?

The price elasticity of demand measures the responsiveness of the quantity demanded by a consumer with respect to a specific change in price of the product, all things being equal (ceteris paribus).

Mathematically, the price elasticity of demand can be calculated by using this formula;

Price elasticity of demand = (Q₂ - Q₁)/[(Q₂ + Q₁)/2]/(P₂ - P₁)/[(P₂ + P₁)/2]

Substituting the given parameters into the formula, we have;

Price elasticity of demand = (3750 - 3600)/[(3750 + 3600)/2]/(125 - 90)/[(125 + 90)/2]

Price elasticity of demand = (150)/[(7350)/2]/(35)/[(215)/2]

Price elasticity of demand = [(150/3675)/(35/107.5)]

Price elasticity of demand = 0.0408/0.3256

Price elasticity of demand = 0.125.

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Refer to the following supply and demand schedules for the market for yo-yos.


Price Qd Qs
$1 100 10
$2 80 35
$3 60 60
$4 40 85
$5 20 110


What are the equilibrium price and quantity of yo-yos? Explain your answer, and show your work.
If price in the market is $2, will there be a surplus or shortage of yo-yos and how large will the surplus/shortage be? Explain your answer, and show your work.
If price is $2, will price tend to increase, decrease, or stay the same over time?
If the price in the market is $5, will there be a surplus or shortage of yo-yos and how large will the surplus/shortage be? Explain your answer, and show your work.
If price is $5, will it tend to increase, decrease, or stay the same over time?

Answers

The equilibrium price and the equilibrium quantity of yoyo is given as $3 and 60.

What is the equilibrium price?

This is the price where the quantity of the good demanded is the same as the quantity of good that has been supplied. The equilibrium price is 3 dollars because at this point the Qs = Qd = 60

2. At a market price of 2 dollars, then would be a shortage in the market. at 2 dollars, demand = 80 while the supply of the product is just 35 hence this shows a shortage.

The shortage = 80 - 35 = 45

3. At 5 dollars there would be a surplus of yoyos. This is because the price is more than the equilibrium.

The surplus = 110 - 20 = 90

4. When the price in the market is 5 dollars then there would be a decrease in price. Given that there would be more suppliers hence there would be competition in the market among producers hence the price fall

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The Shirt Works sells a large variety of tee shirts and sweatshirts. Steve Hooper, the owner, is thinking of expanding his sales by hiring high school students, on a commission basis, to sell sweatshirts bearing the name and mascot of the local high school.



These sweatshirts would have to be ordered from the manufacturer six weeks in advance, and they could not be returned because of the unique printing required. The sweatshirts would cost Hooper $16.00 each with a minimum order of 203 sweatshirts. Any additional sweatshirts would have to be ordered in increments of 203.



Since Hooper’s plan would not require any additional facilities, the only costs associated with the project would be the costs of the sweatshirts and the costs of the sales commissions. The selling price of the sweatshirts would be $32.00 each. Hooper would pay the students a commission of $7.00 for each shirt sold.



Required:

1. What level of unit sales and dollar sales is needed to attain a target profit of $7,308?

2. Assume that Hooper places an initial order for 203 sweatshirts. What is his break-even point in unit sales and dollar sales? (Round your intermediate calculations, round "Break-even point in unit sales" up to the nearest whole unit and round "Break-even point in dollar sales" to the nearest whole dollar.)

3. How many sweatshirts would Hooper need to sell to earn a target profit of $8,222? (Round final answer up to the nearest whole unit.)

Answers

1. The unit and dollar sales levels needed to attain a target profit of $7,308 are 812 and $25,984.

2. The break-even point with 203 sweatshirts is $4,669.

3. The unit sales level needed to attain a target profit of $8,222 is 914.

What is the break-even point?

The break-even point represents the required sales units for no profit or loss to be achieved.

At the break-even point, the total revenue equals the total costs (fixed and variable).

Data and Calculations:

Selling price per sweatshirt = $32

Variable cost per unit = $23 ($7 + $16)

Contribution margin per unit = $9 ($32 - $23)

Contribution margin ratio = 0.28125 ($9/$32)

Fixed costs = $0

Target profit = $7,308

1. Sales level to attain a target profit of $7,308 = 812 units ($7,308/$9)

And $25,984 ($7,308/0.28125)

2. Break-even point with 203 sweatshirts = $4,669 ($23 x 203)

3. Target profit = $8,222

Sales level to attain a target profit of $8,222 = 914 units ($8,222/$9)

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What can cause the market supply curve for fruit juice to shift leftward (a decrease in supply)?

Answers

An increase in the price of fruits will cause the market supply curve for fruit juice to shift leftward.

What is a supply curve?

The supply curve is a visual representation of the relationship between the price of an item or service and the volume delivered over time. A common illustration will have the price on the left vertical axis and the quantity supplied on the horizontal axis.

The supply curve will incline higher from left to right, expressing the law of supply: A given commodity's supply grows as its price rises (all else being equal).

Be aware that this formulation suggests that quantity is the dependent variable and price is the independent variable. Economics is an exception to the general rule that the independent variable is displayed on the horizontal or x-axis.

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the rogers corporation has a gross profit of $792,000 and $277,000 in depreciation expense. the evans corporation also has $792,000 in gross profit, with $43,300 in depreciation expense. selling and administrative expense is $188,000 for each company. given that the tax rate is 40 percent, compute the cash flow for both companies.

Answers

Rogers Evans Cash flow $473,200 $379,720.

Cash flow refers to the net balance of cash entering or leaving a company at any given time. Cash flows in and out of business all the time. For example, when a retailer purchases inventory, money flows from the store to the supplier. NPV is calculated by taking the present value of all cash flows over the life of the project.

calculation,

Roger A gross profit of $792,000

depreciation expense $277,000.

Evans corporation has gross profit = $792,000

depreciation expense = $43,300

Selling and administrative expense is $188,000from both.

Taking the 40 of gross profit

40% of $792,000

40% of $277,000

therefore, Roger = $473,200

Evans = $379,720

Next, subtract the present value of the cash flows from the initial investment amount. Cash flow is calculated by taking the net income value at the end of the reporting period. We then adjust this net earned value using the balance sheet figures to eliminate the impact of non-cash movements reflected in the income statement. Cash flows from operating activities include expenses incurred in the ordinary course of business activities.

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