Business, 23.11.2019 06:31, Pizzapegasus1

Acompany is evaluating the use of insurance to mitigate its risk in the event of a market downturn. the company estimates that it has a total risk of a 20% impact on its net income if a market downturn occurs, and the company currently has a net income of $150,000. at what cost should the company take out insurance to mitigate this risk?

a. $25,000 premium
b. $100,000 premium
c. $150,000 premium
d. $200,000 premium or above

Answers: 3

Show answers

Other questions on the subject: Business

Business, 22.06.2019 00:30, juicyx39

Norton manufacturing expects to produce 2,900 units in january and 3,600 units in february. norton budgets $20 per unit for direct materials. indirect materials are insignificant and not considered for budgeting purposes. the balance in the raw materials inventory account (all direct materials) on january 1 is $38,650. norton desires the ending balance in raw materials inventory to be 10% of the next month's direct materials needed for production. desired ending balance for february is $51,100. what is the cost of budgeted purchases of direct materials needed for january? $58,000 $65,200 $26,550 $25,150

Answers: 1

continue

Business, 22.06.2019 17:30, nikki8240

Communication comes in various forms. which of the following is considered an old form of communication? a) e-mail b) letter c) skype d) texting

Answers: 2

continue

Business, 22.06.2019 22:00, toxsicity

Which of the following statements about nonverbal communication is most accurate? a. the meanings of some gestures can vary among cultures b. the way an e-mail, letter, memo, or report looks can have either a positive or a negative effect on a receiver c. the manner in which we structure and use time can reveal our personalities and attitudes d. all statements are accurate

Answers: 1

continue

Business, 23.06.2019 00:50, LuckyCharms988

Alpine west, inc., operates a downhill ski area near lake tahoe, california. an all-day, adult ticket can be purchased for $55. adult customers also can purchase a season pass that entitles the pass holder to ski any day during the season, which typically runs from december 1 through april 30. the season pass is nontransferable, and the $450 price is nonrefundable. alpine expects its season pass holders to use their passes equally throughout the season. the company’s fiscal year ends on december 31. on november 6, 2009, jake lawson purchased a season ticket. required: 1. when should alpine west recognize revenue from the sale of its season passes? 2. prepare the appropriate journal entries that alpine would record on november 6 and december 31. 3. what will be included in the 2009 income statement and 2009 balance sheet related to the sale of the season pass to jake lawson?

Answers: 3

continue

Do you know the correct answer?

Acompany is evaluating the use of insurance to mitigate its risk in the event of a market downturn....