Basic Earnings per Share

Monona Company reported net income of $29,975 for 2019. During all of 2019, Monona had 1,000 shares of 10%, $100 par, nonconvertible preferred stock outstanding, on which the year's dividends had been paid. At the beginning of 2019, the company had 7,000 shares of common stock outstanding. On April 2, 2019, the company issued another 2,000 shares of common stock so that 9,000 common shares were outstanding at the end of 2019. Common dividends of $17,000 had been paid during 2019. At the end of 2019, the market price per share of common stock was $17.50.

Required:

1. Compute Monona's basic earnings per share for 2019. If required, round your answer to two decimal places.
$ per share

HASF Glassworks makes glass flanges for scientific use Material cost Rs.10 per flange and the glass blowers are paid a wage rate of 100 per hours a glass blower blows 20 flanges in two hours. Fixed manufacturing costs for flanges are 25000 per period. other non-manufacturing cost associated with flanges
are 10,000 per period and are fixed.
Required:
a. Find out variable cost per units and total fixed cost.
b. Assume Company manufactures and sells 10,000 flanges this period their competitor sells
flanges for 15 each. can company sell below competitor price and make a profit on the
flanges
c. How would be your answer to requirement 2 differ if company made and sold 20,000
flanges this period why

17. Using the following information, calculate the Break-Even in terms of dollars and number of units. (15 points)

BELT MANUFACTURER
Cost of leather per belt- $20 Cost of one belt buckle - $25
Cost to drill holes and attach buckle per belt - $5 Management payroll per month - $10,000 Operating expense per month - $20,000
Factory rent per month - $20,000
Price charged to retail store for 5 belts - $500

Cost per belt= $20, buckle /belt=$25, drill holes&buckle/belt=$5   
Fixed Expense= $10,000+$20,000+$20,000= $50,000
Avg Variable Exp Per Sale= $20+ $25+$5+$100= $150
CM= Avg $ Per Sale - Avg Variable Exp Per Sale

(Consumer Choice and Demand)

1. You have a budget of $11, how would you best spend it to maximize your total utility? What is your total utility for this combination? (Fill in the Chart and determine what combination of nachos and pop would give you the highest utility).

2. If the price of Nachos were to decrease to $3.00 would your utility increase or decrease? Circle the correct answer: Increase or Decrease

Question No 5:

1. Using the supply schedule given below, draw an accurately labelled supply curve. Also, comment on the shape of the supply curve. Why does the supply curve slope like this? Explain clearly.

[Answer in 180 – 240 words]

[Draw in paper; take photo and paste/Use MS Word/add screenshot]

2. Do you think the level of technology available have an impact on the supply of a product? Using examples, discuss the impact of technology on supply.             [Answer in 60 – 80 words]
3. What do you think the impact of a change in tax on the supply of a product? Using examples, discuss the impact of tax on supply.                                                        [Answer in 60 – 80 words]

a) Using the supply schedule given below, draw an accurately labelled supply curve. Also, comment on the shape of the supply curve. Why does the supply curve slope like this? Explain clearly. Price 10 8 6 4 2 Supply 500 400 300 200 100 [Answer in 180 – 240 words] [Draw in paper; take photo and paste/Use MS Word/add screenshot]

b) Do you think the level of technology available have an impact on the supply of a product? Using examples, discuss the impact of technology on supply. [Answer in 60 – 80 words]

c) What do you think the impact of a change in tax on the supply of a product? Using examples, discuss the impact of tax on supply. [Answer in 60 – 80 words]

microeconomics

On May 22, 2020, the RBI reduced the policy repo rate by 40 bps (100 bps = 1 per cent), from 4.4 per cent to 4 per cent. The Marginal Standing Facility (MSF) rate was
reduced to 4.25 per cent and reverse repo rate to 3.35 per cent.
i) Explain why the inter-bank interest rate (the call money rate) typically stays inside the
above corridor of policy rates, i.e. the call money rate does not go beyond the MSF rate and
does not fall below the reverse repo rate.
ii) Explain (using appropriate graphs) the effects of an increase in CRR on (1) money supply/
money demand, (2) investment expenditure, (3) GDP & price level.

Nathan’s Grills, Inc., imports and sells premium-quality gas grills. The company had the following layers in its LIFO inventory at January 1, 2014, at which time the replacement cost of the inventory was $900 per unit.

Year LIFO Layer Added                 Units                   Unit Cost

    2011 100                     $600

    2012 50                       700

    2013 30                       800

The replacement cost of grills remained constant throughout 2014. Nathan’s sold 200 units during 2014. The company established the selling price of each unit by doubling its replacement cost at the time of sale.

Calculate gross margin percentage in 2014, assuming Nathan's purchased 215 units in 2014.

Calculate gross margin percentage in 2014, assuming Nathan's purchased 80 units in 2014.

Data concerning Wislocki Corporation's single product appear below:

Fixed expenses are $1,047,000 per month. The company is currently selling 9,300 units per month.

Required:

The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $13 per unit. In exchange, the sales staff would accept an overall decrease in their salaries of $107,000 per month. The marketing manager predicts that introducing this sales incentive would increase monthly sales by 430 units. What should be the overall effect on the company's monthly net operating income of this change?