(1) What is business risk? What factors influence a firms business risk? (2) What is operating leverage,...
Question:
(1) What is business risk? What factors influence a firm’s business risk?
(2) What is operating leverage, and how does it affect a firm’s business risk? Show the operating break-even point if a company has fixed costs of $200, a sales price of $15, and variable costs of $10.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (4 reviews)
Operating Leverage is the measure of the degree of the various costs that a business occurs in its ...View the full answer
Answered By
Marvine Ekina
Marvine Ekina
Dedicated and experienced Academic Tutor with a proven track record for helping students to improve their academic performance. Adept at evaluating students and creating learning plans based on their strengths and weaknesses. Bringing forth a devotion to education and helping others to achieve their academic and life goals.
PERSONAL INFORMATION
Address: , ,
Nationality:
Driving License:
Hobbies: reading
SKILLS
????? Problem Solving Skills
????? Predictive Modeling
????? Customer Service Skills
????? Creative Problem Solving Skills
????? Strong Analytical Skills
????? Project Management Skills
????? Multitasking Skills
????? Leadership Skills
????? Curriculum Development
????? Excellent Communication Skills
????? SAT Prep
????? Knowledge of Educational Philosophies
????? Informal and Formal Assessments
0.00
0 Reviews
10+ Question Solved
Related Book For
Corporate Finance A Focused Approach
ISBN: 978-1439078082
4th Edition
Authors: Michael C. Ehrhardt, Eugene F. Brigham
Question Posted:
Students also viewed these Business questions
-
Generate 100 samples of a zero-mean white noise sequence ?(n) with variance ? 2 ? = 1/12, by using a uniform random number generator. (a) Computer the autocorrelation of ?(n) for 0 ? m ? 15. (b)...
-
Implement the test in Problem 7.77 using a two-sided test (report a p-value)? Table 7.10 Itching scores reported by participants a Itching score left eye itching score right eye. Eye Difforence...
-
Descriptors are provided below for six situations involving notes receivable being discounted at a bank. In each case, the maturity date of the note is December 31, 2024, and the principal and...
-
Apply Theorem 3 to calculate the matrix exponential e At for each of the matrices in Problems 35 through 40. A = 13 3 3 3 01 3 3 00 23 0002
-
Over the past decade, cruise ship companies have dramatically increased the number of mega-ships (those that carry 3,000 passengers or more), increasing the supply of cruises. At the same time, the...
-
On July 1, 2020, Major Ltd. pays 15,120 to Orlow Insurance for a 3-year insurance contract. Both companies have fi scal years ending December 31. For Major Ltd., journalize and post the entry on July...
-
A purpose of tests of controls over shipping is to determine whether: a. Billed goods are shipped. b. Shipments are made in accordance with approved sales and orders. c. Sales orders are properly...
-
Kara is opening up a new daycare business in her home. She needs $6500 to purchase toys and a backyard playset. Kara makes a 10% down payment and finances the balance with a 48-month fixed...
-
2. Determine the cost to install the windows in Figure using a productivity of 3.0 labor hours per window and an average labor rate of $29.50 per labor hour.
-
1. Do you agree with the court that IABs involvement constituted retaliation? Why or why not? 2. To what extent did the police department culture play a role in this decision? 3. What steps could the...
-
What are stock splits and stock dividends? What are the advantages and disadvantages of each?
-
Now, to develop an example that can be presented to PizzaPalaces management to illustrate the effects of financial leverage, consider two hypothetical firms: Firm U, which uses no debt financing, and...
-
Approximate the number of hours of daylight in New York, New York (4045' north latitude), for the following dates: (a) Summer solstice (i = 23.5) (b) Vernal equinox (i = 0) (c) July 4 (i = 2248') Use...
-
While as the primary on site auditor from a CPA firm auditing the regional restaurant chain for the first time. I observed two realities (a tease way to call attention to what I will type). First,...
-
Explain the Authentication List of employees and managers who work in the facility Employee login credentials to banking local area network Authorization Employees authorized to authenticate into the...
-
On March 1, Murray signed a contract to pay Anton $2000 plus interest at 8% on June 1, and $3000 plus interest at 8% on September 1. Anton sold the contract to Randy on May 1 at a price negotiated to...
-
Elderly on a fixed income 2. Renters who live in a rent controlled apartment 3. People who are paying on a loan with adjustable interest rates 4. Banks who are collecting on loans with adjustable...
-
Consider the internal medicine clinic. The APP, who works alone, has negotiated a base compensation increase from $115,000 to $125,000. For the clinic to breakeven, what must be the corresponding...
-
Write the symbol (in the form AZX) for the nuclide with 38 protons and 50 neutrons and identify the element.
-
Akramin just graduated with a Master of Engineering in Manufacturing Engineering and landed a new job in Melaka with a starting salary of RM 4,000 per month. There are a number of things that he...
-
What two organizations provide guidelines for reporting pension fund activities to stockholders? Describe briefly how pension fund data are reported in a firm's financial statements. (Hint: consider...
-
Assume that an employee joins the firm at age 25, works for 40 years to age 65, and then retires. The employee lives another 15 years, to age 80, and during retirement draws a pension of $20,000 at...
-
Discuss the risks to both the plan sponsor and plan beneficiaries under the four types of pension plans. MINI CASE Southeast Tile Distributors Inc. is a building tile wholesaler that originated in...
-
Give an example of one piece of financial information that may be used differently for two stakeholders (users) and explain how it would be used and presented differently?
-
Complete common -size statements (balance sheets) using the data below on page 246. You will be required to create a spreadsheet in MS Excel to display the statements (balance sheets).? In a 1 to 2...
-
A sail boat in the Great South Bay travels 2 miles east and then 4 miles south to get to Fire Island. What is its distance and displacement?
Study smarter with the SolutionInn App