Business
Business, 06.10.2019 01:00, sdwhitneyhillis

Arnold vimka is a venture capitalist facing two alternative investment opportunities. he intends to invest $800,000 in a start-up firm. he is nervous, however, about future economic volatility. he asks you to analyze the following financial data for the past year’s operations of the two firms he is considering and give him some business advice. company name larson benson variable cost per unit (a) $ 16.00 $ 7.00 sales revenue (8,000 units × $25) $ 200,000 $ 200,000 variable cost (8,000 units × a) (128,000 ) (56,000 ) contribution margin $ 72,000 $ 144,000 fixed cost (24,000 ) (96,000 ) net income $ 48,000 $ 48,000 required use the contribution margin approach to compute the operating leverage for each firm. if the economy expands in coming years, larson and benson will both enjoy a 10 percent per year increase in sales, assuming that the selling price remains unchanged. compute the change in net income for each firm in dollar amount and in percentage. (note: since the number of units increases, both revenue and variable cost will increase.) if the economy contracts in coming years, larson and benson will both suffer a 10 percent ­decrease in sales volume, assuming that the selling price remains unchanged. compute the change in net income for each firm in dollar amount and in percentage. (note: since the ­number of units decreases, both total revenue and total variable cost will decrease.)

answer
Answers: 3

Other questions on the subject: Business

image
Business, 22.06.2019 03:50, raieliz1414
Suppose that a worker in agland can produce either 10 units of organic grain or 2 units of incense per year, and a worker in zenland can produce either 5 units of organic grain or 15 units of incense per year. there are 20 workers in agland and 10 workers in zenland. currently the two countries do not trade. agland produces and consumes 100 units of grain and 20 units of incense per year. zenland produces and consumes 50 units of grain and no incense per year. if each country made the decision to specialize in producing the good in which it has a comparative advantage, then the combined yearly output of the two countries would increase by a. 30 units of grain and 100 units of incense. b. 30 units of grain and 150 units of incense. c. 50 units of grain and 90 units of incense. d. 50 units of grain and 130 units of ince
Answers: 1
image
Business, 22.06.2019 16:40, kyleap984ovm04g
Determine the hrm’s role in the performance management process and explain how to ensure the process aligns with the organization’s strategic plan.
Answers: 1
image
Business, 22.06.2019 18:10, maddihamidou
Consumers who participate in the sharing economy seem willing to interact with total strangers. despite safety and privacy concerns, what do you think is the long-term outlook for this change in the way we think about interacting with people whom we don't know? how can businesses to diminish worries some people may have about these practices?
Answers: 1
image
Business, 22.06.2019 20:00, mooneyhope24
Experienced problem solvers always consider both the value and units of their answer to a problem. why?
Answers: 3
Do you know the correct answer?
Arnold vimka is a venture capitalist facing two alternative investment opportunities. he intends to...

Questions in other subjects: