$4.40 per share
Explanation:
The computation of the earning per share is shown below:
Earning per share = (Net income - preference dividend) ÷ (Weighted average of number of shares)
where,
Net income is $640,000
Preference dividend is $72,000
And, the weighted average number of share is
= 120,000
What is the first step in recording a transaction?
Answer:
The first step in the recording process is to analyze the transaction, determine the accounting entries and record them in the appropriate accounts. The analysis includes an examination of the paper or electronic record of the transaction, such as an invoice, a sales receipt or an electronic transfer.
Explanation:
If we add successive laborers to work a given amount of land on a wheat farm, eventually:____.
a. the increases in wheat harvested will get larger and larger.
b. average total cost will fall to zero.
c. the increases in wheat harvested will rise at a constant rate.
d. the increases in wheat harvested will get smaller and smaller.
Answer:
d. the increases in wheat harvested will get smaller and smaller.
Explanation:
A marginal rate of technical substitution (MRTS) can be defined as an economic principle which is typically used to represent the rate at which a factor such as capital must decrease so that the same level or quantity of production is maintained when another factor such as labor is changed (increased).
An isoquant is the slope of a marginal rate of technical substitution (MRTS) which connects the two input factors provided that the level of output or production is the same.
Also, the diminishing marginal rate of technical substitution refers to the decline (fall) in marginal rate of technical substitution (MRTS) along an isoquant that produces the same quantity (level) of output.
When an isoquant has a diminishing marginal rate of technical substitution, the corresponding isoquants are convex to the origin. Thus, the marginal rate of technical substitution (MRTS) would continue to diminish as more of a factor such as capital is used.
If we add successive laborers to work a given amount of land on a wheat farm, eventually the increases in wheat harvested will get smaller and smaller.
Answer:
d. the increases in wheat harvested will get smaller and smaller.
Explanation:
If we add successive laborers to work a given amount of land on a wheat farm, eventually: the increases in wheat harvested will get smaller and smaller.
A machine with a cost of $130,000 and accumulated depreciation of $85,000 is sold for $40,000 cash. The amount of the loss related to the sale of this machine should be reported in the operating section under the indirect method is:
Answer: About $50,000
Explanation:
All of the following are likely to be the Benefits of a college graduate
All of the options are suitable benefits for a college graduate except for the earning of lesser money over time.
What is a college?
A college is a place for studying and attaining a degree in a specialized field by a student after completing high school.
After getting a graduation degree from a college, the benefits available to a student are enhanced access to the new job opportunities, a rise in income, stability & satisfaction toward the job, growth & development in personal skills, and access to more advanced career goals, improvement in health and well being, and many more.
Therefore, the benefits of a college graduate are specified above.
Learn more about the college in the related link:
https://brainly.com/question/4217955
#SPJ2
Received $950 cash for services provided to a customer during July. Issued common stock for $3,000 cash. Received $800 from a customer in partial payment of his account receivable which arose from sales in June. Provided services to a customer on credit, $425. Borrowed $6,500 from the bank by signing a promissory note. Received $1,300 cash from a customer for services to be performed next year. What was the amount of revenue for July
Answer:
$1,375
Explanation:
Calculation to determine What was the amount of revenue for July
Using this formula
July Revenue= July Cash Received for services provided+ Services provided to customer on credit
Let plug in the formula
July Revenue= $950+$425
July Revenue=$1,375
Therefore the amount of revenue for July is $1,375
The Ashford Twins hired you as a consultant to estimate the company's WACC. You have obtained the following information. (1) The company's noncallable bonds mature in 20 years, have a coupon rate of 7.00% paid annually, a par value of $1,000, and a current market price of $850. (2) The company's tax rate is 28%. (3) The required rate of return on the company's common stock based on CAPM is 10.0%. (4) The target capital structure consists of 20% debt, with the remainder comprised of common equity. What is its WACC
Answer:
9.24 %
Explanation:
WACC = Cost of Equity x Weight of Equity + Cost of Debt x Weight of Debt
Remember to use the After tax cost of debt :
Cost of Debt r is
Pv = - $850
Fv = $1,000
n = 20
p/yr = 1
pmt = $1,000 x 7.00% = $70
r = ??
Using a financial calculator r is 8.60 %
thus,
After tax cost of debt = 8.60 % x (1 - 0.28)
= 6.192 %
therefore
WACC = 10.0% x 80 % + 6.192 % x 20 %
= 9.2384 or 9.24 %
The company's WACC is 9.24 %
8. For the case of an electric car project, the following costs should be treated as incremental costs when deciding whether to go ahead with the project EXCEPT: A. The consequent reduction in sales of the company's existing gasoline models. B. Interest payments on debt incurred to finance the project. C. The value of tools that will be transferred to the project from the company's existing plants instead of being sold. D. The expenditure on new plants and equipment.
Answer: B. Interest payments on debt incurred to finance the project.
Explanation:
When it comes to deciding whether a project will go ahead after the initial production stage, the costs that will be incremental should only be those that will be incurred if the project goes ahead.
Any cost that has already been incurred should not be considered as these are sunk costs and are treated as non-recoverable. Interest payments on debt incurred to finance this project has already been incurred and so is a sunk cost that should no longer be considered.
Which factors are considered when deciding how to make goods and services?
Answer:
determining who has the greatest need
finances of prospective buyers(X)
methods traditionally used to make a good
ways to produce items at a lower cost or higher quality (X)
ways to make the biggest profit (X)
Explanation:
Job Costs At the end of April, Prichard Company had completed Jobs 50 and 51. Job 50 is for 1,000 units, and Job 51 is for 500 units. The following data relate to these two jobs: On April 20, raw materials were requisitioned for production as follows: 700 units for Job 50 at $18 per unit and 1,400 units for Job 51 at $18 per unit. During April, Prichard Company accumulated 300 hours of direct labor costs on Job 50 and 1,100 hours on Job 51. The total direct labor was incurred at a rate of $20 per direct labor hour for Job 50 and $12 per direct labor hour for Job 51. The predetermined factory overhead rate is $6.00 per direct labor hour. a. Determine the balance on the job cost sheets for Jobs 50 and 51 at the end of April. Job 50 $ fill in the blank 1 Job 51 $ fill in the blank 2 b. Determine the cost per unit for Jobs 50 and 51 at the end of April. Round all answers to the nearest whole cent. Job 50 $ fill in the blank 3 Job 51 $ fill in the blank 4
Answer:
Prichard Company
At the end of April:
Job 50 Job 51
The balance on the job cost sheets $20,400 $45,000
The cost per unit $20.40 $90
Explanation:
a) Data and Calculations:
Job 50 Job 51
Units produced 1,000 500
Raw materials 700 1,400
Cost of raw materials per unit $18 $18
Total cost of raw materials $12,600 $25,200
Total direct labor hours 300 1,100
Direct labor rate per hour $20 $12
Total cost of direct labor $6,000 $13,200
Factory overhead $1,800 $6,600
Predetermined overhead rate = $6 per direct labor hour
Total cost of raw materials $12,600 $25,200
Total cost of direct labor 6,000 13,200
Factory overhead applied 1,800 6,600
Total cost on April 30 $20,400 $45,000
Units produced 1,000 500
Cost per unit $20.40 $90
Sarah’s first questions for you have to do with the general ideas and terminology used to evaluate variances. Provide answers to the following questions (1)-(3). 1. Why might Sarah want to use standard costs to compare with her actual costs? a. Standard costs give management a cost structure for products that is applicable for the entire life of the business. b. Standard costs allow management to motivate employees by comparing their performance to what it would be under perfect conditions. c. Management can evaluate the differences between standard costs and actual costs to focus on correcting the cost variances.
Answer:
Sarah
The reason for Sarah to want to use standard costs to compare with her actual costs is:
c) Management can evaluate the differences between standard costs and actual costs to focus on correcting the cost variances.
Explanation:
Standard costs provide a control technique for evaluating the performance of Sarah's company at three levels: a standard performance level, a measure of actual performance, and a measure of the difference (variance) between standard and actual costs. Sarah will also use the variances resulting from the comparison of standard costs with actual costs to measure the non-financial performance of the entity.
If you get in an accident with a hit-and run driver, ___ will cover any damage. a. collision insurance c. medical payments b. comprehensive physical insurance d. uninsured motorist insurance
Answer:
A.
Explanation:
Collision insurance covers anything from a car accident you did, or someone else did.
In supply chain, the bullwhip effect produces progressively larger inventories as demand variation increases upstream. A primary reason for this supply behavior is: Select one: a. Suppliers announce price reduction. b. Supply shortages stimulate small lot size production. c. Perceived shortage causes buyers to inflate orders. d. Suppliers increa
Answer:
c. Perceived shortage causes buyers to inflate orders.
Explanation:
The bullwhip effect phenomenon is when the demand forecasts of buyers of a product results in supply inefficiencies.
Demand and supply are related in that an increase in supply results in lower prices of goods and demand rises, and vice versa.
In the bullwhip phenomenon available inventory of a product varies on the basis of demand.
For example an increase in perceived demand for a product will result in an increase in inventory from the supplier and price goes down.
On the other hand when there is a perceived shortage of a product buyers will tend to inflate orders and price will eventually rise
Juan Martinez, a systems engineer at a construction machinery company, just received his performance appraisal from his boss, Emily Taylor. Although Juan has been mostly an average performer, Emily gave him below average ratings due to the fact that the person who Emily evaluated before Juan was Max Houser, an exceptional performer. This is an example of what type of rating error
Answer: Contrast
Explanation:
Contrast error is a type of rating error whereby how a target person is evaluated in a group is dependent and affected by how others perform in that group.
Contrast error is used in appraising the performance of an individual and the rating of a candidate will be affected by how the person before him or her was rated. Based on the question, Juan was rated below average because the person before him was given an exceptional rating.
At the high level of activity in November, 6000 machine hours were run and power costs were $18000. In April, a month of low activity, 1000 machine hours were run and power costs amounted to $9000. Using the high-low method, the estimated fixed cost element of power costs is $9000. $10800. $18000. $7200.
Answer:
The answer is "[tex]\bold{\$7,200}[/tex]"
Explanation:
Using the High - Low method:
[tex]\to Variable \ cost= \frac{\text{(Highest Activity cost - Lowest Activity cost)}}{\text{( Highest Activity Units - Lowest Activity Units)}}[/tex]
[tex]= \frac{(\$18000 - \$9000)}{(6000 - 1000)}\\\\= \frac{(\$9000)}{(5000)}\\\\= \frac{(\$9)}{(5)}\\\\= \$1.8/ unit[/tex]
[tex]\to Fixed \ Cost = \text{Highest Activity cost} - \text{(Variable cost per unit} \times \text{Highest Activity Units)}[/tex]
[tex]= \$18000 - ( \$1.8 \times 6000)\\\\= \$18000 - \$ 10800 \\\\= \$7,200[/tex]
The actuarial gains or losses that result from changes in the projected benefit obligation are called Group of answer choices Liability Gains & Losses None of the above Asset or Liability Gains & Losses Asset Gains & Losses
Answer: Liability Gains & Losses
Explanation:
The Projected Benefit Obligation refers to the present value of the amount that a company owes its employees as pension if its employees retire with the company so this is a liability to the company.
If this PBO is to change therefore and actuarial gains or losses are recorded from this change, they would affect the liabilities of the company and would therefore have to be referred to as liability gains and losses.
An organization takes active countermeasures to protect its systems, such as installing firewalls. This approach is known as _____________ .
Answer:
Risk reduction.
Explanation:
Risk management can be defined as the process of identifying, evaluating, analyzing and controlling potential threats or risks present in a business as an obstacle to its capital, revenues and profits.
This ultimately implies that, risk management involves prioritizing course of action or potential threats in order to mitigate the risk that are likely to arise from such business decisions. Also, it is considered to be the most important part of any organization or project.
A firewall is a network security protocol that monitors and controls inbound and outbound traffic based on set aside security rules.
Generally, a firewall is used to control access to a computer or network, as it creates a barrier between a computer or a network and the internet in order to protect against unauthorized access. It is a security system pre-installed on most computers to essentially inspect data being transmitted to or from a computer.
Furthermore, firewalls are typically bidirectional, it checks all sent and received data and only allow authorized traffic through.
Hence, when an organization takes active countermeasures to protect its systems, such as installing firewalls. This approach is known as risk reduction because it mitigates, minimizes or limits (reduces) the chances of its systems and data being circumvented or compromised by a hacker, intruder and third party.
Using the following balance sheet and income statement data, what is the current ratio? Current assets $ 32,000 Net income $ 42,000 Current liabilities 16,000 Stockholders' equity 78,000 Average assets 160,000 Total liabilities 42,000 Total assets 120,000 Average common shares outstanding was 15,000.
Answer:
2 times
Explanation:
Current ratio is computed by dividing the total assets by the total liabilities
Current ratio = Current assets / Current liabilities
Current assets = $32,000
Current liabilities = $16,000
Current ratio = $32,000 / $16,000
Current ratio = 2 times
Consider an economy with just two citizens. If Sanjay's marginal benefit from an hour of mosquito control efforts is $10 and Anjali's marginal benefit is $25, then the optimal number of hours of a public good like mosquito control occurs when the marginal cost of an additional hour of mosquito control is: $17.50. $10.00. $25.00. $35.00.
Answer: $35.00
Explanation:
The optimal quantity of a public good simply occurs when the demand which is the marginal benefit curve and the supply which is the marginal cost curve intersects
In this case, the marginal social benefit will be:
= Sanjay's marginal benefit + Anjali's marginal benefit
= $10 + $25 = $35.
Therefore, the answer to the question is $35.
A company has the following expenditures during the year. Advertising $ 200,000 Employee training 25,000 Customer outreach and consultation 175,000 The company believes that these efforts have increased the fair value of the entire company by $50,000. How much goodwill can the company recognize at the end of the year associated with these expenditures
Answer:
$0
Explanation:
Given that;
Advertising expenses = $200,000
Employee training = $25,000
Consumer outreach and consultation = $175,000
Since it is mentioned that this cost would be increased, the fair value of the entire company by $50,000
Hence, there is no information related to the takeover of the business. This implies that the goodwill recognized by the company is zero
Executive stock options: Multiple Choice allow the holder the option to buy shares at a specified exercise price during a specified period of time. allow the holder the option to buy shares at a specified exercise price any time prior to the executive ceasing to be employed by the firm. are expensed at their intrinsic value. permit executives to purchase restricted stock.
Answer:
allow the holder the option to buy shares at a specified exercise price during a specified period of time.
Explanation:
A primary market refers to the market where these securities that are being sold are issued or created
On the other hand, the secondary market can be defined as a market where various investors sell and buy securities from other investors.
Some examples of secondary market around the world are New York Stock Exchange (NYSE), NASDAQ, London Stock Exchange (LSE) and National Stock Exchange (NSE).
Executive stock options (ESOs) can be defined as an equity compensation contract that are granted to the employees and executives of a company, giving them to right to buy a specific amount of shares from the company's stock at a particular price for a specificied period of time.
Basically, ESO allows the holder the option to buy shares from the company's stock at a specified exercise price or strike price for a specific period of time.
The main purpose of an ESO is to serve as an incentive to make the beneficiaries or holders improve the financial performance of a company while closely aligning their interests with those of the shareholders of the same company.
A company is analyzing two mutually exclusive projects, S and L, with the following cash flows: 0 1 2 3 4 Project S -$1,000 $895.10 $240 $5 $15 Project L -$1,000 $10 $260 $420 $749.71 The company's WACC is 9.0%. What is the IRR of the better project
Answer:
12.3%
Explanation:
Internal rate of return is the discount rate that equates the after-tax cash flows from an investment to the amount invested
IRR can be calculated with a financial calculator
project S
Cash flow in year 0 = -$1,000
Cash flow in year 1 = $895.10
Cash flow in year 2 = $240
Cash flow in year 3 =$5
Cash flow in year 4 =$15
IRR = 12.3%
Project L
Cash flow in year 0 = -$1,000
Cash flow in year 1 = 10
Cash flow in year 2 = $260
Cash flow in year 3 =$420
Cash flow in year 4 = 749.71
IRR = 11.7
S is more profitable because the IRR is higher
To find the IRR using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. After inputting all the cash flows, press the IRR button and then press the compute button.
Pacific Cruise Lines is a defendant in litigation involving a swimming accident on one of its three cruise ships.
Required:
1. The likelihood of a payment occurring is probable, and the estimated amount is $1.11 million.
2. The likelihood of a payment occurring is probable, and the amount is estimated to be in the range of $0.91 to $1.11 million.
3. The likelihood of a payment occurring is reasonably possible, and the estimated amount is $1.11 million.
4. The likelihood of a payment occurring is remote, while the estimated potential amount is $1.11 million.
Record the necessary entry for the scenarios given above. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in dollars, not in millions, (i.e. 5.5 should be entered as 5,500,000).)
Answer: See explanation
Explanation:
The necessary journal entry with regards to the scenarios given above will be:
1. Debit Loss $1,110,000
Credit Contingent liability $1,110,00
2. Debit Loss $910,000
Credit Contingent Liability $910,000
3. No journal entry
4. No journal entry
Note that there won't be a journal entry for (3) and (4) since the likelihood of a payment occurring is reasonably possible, and remote.
Brodrick Company expects to produce 21,600 units for the year ending December 31. A flexible budget for 21,600 units of production reflects sales of $496,800; variable costs of $64,800; and fixed costs of $140,000. QS 23-3 Flexible budget LO P1 If the company instead expects to produce and sell 26,300 units for the year, calculate the expected level of income from operations.
Answer:
Brodrick Company
If the company instead expects to produce and sell 26,300 units for the year, the expected level of income from operations is:
= $386,000.
Explanation:
a) Data and Calculations:
Expected production for the year ending December 31 = 21,600 units
Sales based on 21,600 units = $496,800 ($23 per unit)
Variable costs on 21,600 units 64,800 ($3 per unit)
Contribution margin = $432,000 ($20 per unit
Fixed costs = 140,000
Net operating income = $292,000
Expected level of income from operations (26,300 units):
Sales revenue (26,300 * $23) = $604,900
Variable costs (26,300 * $3) = 78,900
Contribution margin $526,000
Fixed costs = 140,000
Net operating income = $386,000
Red Co. had the following transactions through December 31: Cash proceeds from the sale of investment in Gold Co. stock $ 15,000 Dividends received on investment in Blue Co. stock $ 10,000 Repaid principal on a loan to the bank $ 35,000 Acquired investment in Yellow Co. stock $ 75,000 Proceeds from the disposal of factory equipment $ 12,000 What amount should Red report as net cash used by investing activities in its statement of cash flows for the period ended December 31
Answer:
Red Co.
The amount that Red Co should report as net cash used by investing activities in its statement of cash flows for the period ended December 31 is:
= $38,000.
Explanation:
a) Data and Calculations:
Investing activities section of the Statement of Cash Flows:
Sales of investment in Gold Co stock $15,000
Dividends received on Blue Co. stock 10,000
Purchase of investment in Yellow Co (75,000)
Proceeds from the disposal of equipment 12,000
Net cash used by investing activities $38,000
Gina borrows from Regional Loan Company the funds to buy a car. The car secures the debt. Gina defaults on the loan. Regional takes possession of the car, planning to sell it to recover some of the unpaid debt. Before the creditor sells the car or enters into a contract for its sale, Gina can pay what she owes and take back the car. This is
Answer:
right of redemption allows delinquent borrower to reclaim property if they are able to repay their obligations in time.
"Night Shades Inc. (NSI) manufactures biotech sunglasses. The variable materials cost is $1.12 per unit, and the variable labor cost is $1.9 per unit. a. What is the variable cost per unit? b. Suppose the company incurs fixed costs of $420,000 during a year in which total production is 189,000 units. What are the total costs for the year? c. If the selling price is $8.55 per unit, what is the NSI break-even on a cash basis? d. If depreciation is $94,500 per year, what is the accounting break-even point?"
Answer:
Night Shades Inc. (NSI)
a. The variable cost per unit is:
= $3.02.
b. The total costs for the year is:
= $990,780.
c. The NSI break-even on a cash basis is:
= $503,091.
d. The accounting break-even point is:
= $647,150.
Explanation:
a) Data and Calculations:
Variable costs per unit:
Materials = $1.12
Labor = 1.90
Total = $3.02
Total production units = 189,000
Total variable costs = $570,780
Fixed costs = $420,000
Total costs = $990,780
Per unit:
Selling price = $8.55
Variable costs 3.02
Contribution $5.53
Contribution margin in percentage = $5.53/$8.55 * 100 = 64.7%
Fixed costs on cash basis = FC - Depreciation = $325,500 ($420,000 - $94,500)
Break-even point on a cash basis = $325,5000/0.647 = $503,091
Break-even point in sales dollars = $420,000/0.647 = $647,150
Using the following selected items from the comparative balance sheet of Kato Company, illustrate horizontal and vertical analysis.
HORIZONTAL VERTICAL
ANALYSIS ANALYSIS
December 31, December 31, 2019 December 31, 2020 December 31, 2019
2020
Accounts
Receivable $720,000 $630,000
Inventory 450,000 360,000
Answer:
Kato Company
a. Vertical Analysis:
December 31, 2020 % December 31, 2019 %
Accounts
Receivable $720,000 61.5% $630,000 63.6%
Inventory 450,000 38.5% 360,000 36.4%
Total current assets $1,170,000 100% $990,000 100%
b. Horizontal Analysis:
December 31, 2020 Change December 31, 2019
Accounts
Receivable $720,000 +14.3% $630,000
Inventory 450,000 +25% 360,000
Total current assets $1,170,000 +18.2% $990,000
Explanation:
a) Data and Calculations:
December 31, 2020 December 31, 2019
Accounts
Receivable $720,000 $630,000
Inventory 450,000 360,000
Total current assets $1,170,000 $990,000
December 31, 2020 % December 31, 2019 %
Accounts
Receivable $720,000 61.5%(720/1,170) $630,000 63.6% (630/990)
Inventory 450,000 38.5% (450/1,170) 360,000 36.4%(360/990)
Total current assets $1,170,000 100% (1,170/1,170) $990,000 100% (990/990)
December 31, 2020 Change December 31, 2019
Accounts
Receivable $720,000 +14.3% (720-630)/630 $630,000
Inventory 450,000 +25% (450-360)/360 360,000
Total current assets $1,170,000 +18.2% (1,170-990)/990 $990,000
b) The vertical analysis of Kato's balance sheet items focuses on the relationships between the line items in a single reporting period, while horizontal analysis focuses on multiple reporting periods, reporting on the changes between the accounting periods.
Find the duration of a bond with settlement date May 27, 2018, and maturity date November 15, 2027. The coupon rate of the bond is 7%, and the bond pays coupons semiannually. The bond is selling at a yield to maturity of 8%. (Do not round intermediate calculations. Round your answers to 4 decimal places.)
Answer:
Macaulay duration 6.9659
Modified duration 6.6980
Explanation:
Calculation to Find the duration of a bond with settlement date.
Based on the information given we would Find the duration of a bond with settlement date using Excel
Macaulay duration =duration(settlement,maturity,coupon,yield frequency)
Where,
Settlement date o= 5/27/2018
Maturity date = 11/15/2027
Coupon rate =7.0%
Yield to maturity=8.0%
Frequency =2 years
=Macaulay duration(5/27/2018 ,11/15/2027 ,0.07,0.08,2)
Macaulay duration= 6.9659
Therefore Macaulay duration is 6.9659
Modified duration=mduration((settlement,maturity,coupon,yield frequency)
Where,
Settlement date o= 5/27/2018
Maturity date = 11/15/2027
Coupon rate =7.0%
Yield to maturity=8.0%
Frequency =2 years
Modified duration=mduration(5/27/2018 ,11/15/2027,0.07,0.08,2)
Modified duration=mduration= 6.6980
Therefore Modified duration is 6.6980
Summary:
Settlement date 5/27/2018
Maturity date 11/15/2027
coupon rate 0.07
yield to maturity 0.08
nper 2
Macaulay duration 6.9659
Modified duration 6.6980
Soar Incorporated is considering eliminating its mountain bike division, which reported an operating loss for the recent year of $6,000. The division sales for the year were $1,060,000 and the variable costs were $863,000. The fixed costs of the division were $203,000. If the mountain bike division is dropped, 30% of the fixed costs allocated to that division could be eliminated. The impact on operating income for eliminating this business segment would be:
Answer:
loss of $137,000.
Explanation:
Analysis of effects of eliminating business segment
Income :
Savings - Variable Costs $863,000
Savings - Fixed Cost ($203,000 x 30%) $60,900
Total Income $923,900
Costs :
Lost Sales $1,060,000
Total Costs $1,060,000
Financial Advantage/ (Disadvantage) ($137,000)
therefore,
The impact on operating income for eliminating this business segment would be: loss of $137,000.
3 ways to prvent hazards in the laboratory
1-Do not use laboratory containers or refrigerators to store drinks or
food, or put chemicals in food containers
(bottles of water, etc.).
2-Work whenever possible in the fume cupboard, especially
if you handle volatile, toxic powdered products, when you do
experiments that generate fumes or gases, etc.
3-Use personal protective equipment (gloves, glasses,
masks, etc.) suitable for each job and risk.
Hope this can help you