Variable costs are costs that vary in total in direct proportion to changes in the activity level

Indicate whether the statement is true or false


True

Business

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The cash balance on June 30 is projected to be $4500. The company has to maintain a minimum cash balance of $5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increments of $5,000 and has to pay interest every month at an annual rate of 4%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of $5,000 whenever there is surplus cash. Calculate the final projected cash balance at the end of September.

Malachi, Inc. has prepared its third quarter budget and provided the following data:

A) $21,584
B) $6584
C) $8367
D) $54,967

Business

In the ________ stage of the retail life cycle, the retailer often is an aggressive entrepreneur who takes a unique approach to doing business by creating a differential advantage, such as competing on the basis of low price, offering a distinctive

assortment, or using a different way to distribute products. A) expansion B) introduction C) extension D) maturity E) growth

Business

Division A of Mocha Company has sales of $155,000, cost of goods sold of $83,000, operating expenses of $43,000, and invested assets of $150,000. What is the profit margin for Division A?

A) 19.3% B) 48.0% C) 18.7% D) 5.47%

Business

ROA in financial planning stands for ______.

A. return on assets B. return on audit C. record of assets D. record of administration

Business