Mortgage rates are the lowest in the history and will not be any lower then what it is now. In fact banks began to raise the mortgage rates and will continue to raise it in the new year. Locking your mortgage for a fixed rate will insure you with a fixed monthly payment for the next few years. I believe that 5 years fixed mortgage is the way to go in 2011.

not sure! go 50/50 - lock 1/2 of your mgt for five years the other 1/2 variable - so whatever happen you can either be pissed or happy and that depends on your attitude to life :)

ON Canada, Sept 11, 2011 - Current fixed rates are at the lowest and this makes housing more affordable. Variable rates on the other hand is around 2.4% while fixed are at 3.19%. The difference between the two rates is low or $ 39 for 25 years for each 100K of loan. Having the peace of mind of equal payments vs. low and volatile rates, the fixed rate may be a better option at this point in time. It could change next month. Email me at victor_catalan@centum.ca if you need further assistance on this matter.

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Giere manufacturing had a bad year in 2011. for the first time in its history it operated at a loss. the company's income statement showed the following results from selling 76,400 units of product: net sales $1,528,000; total costs and expenses $1,514,554; and net loss $-13,446. costs and expenses consisted of the following. total variable fixed costs of goods sold 986,454 676,654 309,800 selling expenses 417,700 77,400 340,300 administrative expenses 110,400 40,200 70,200 total 1,514,554 794,254 720,300 management is considering the following independent alternatives for 2012. 1. increase unit selling price 23% with no change in costs and expenses. 2. change the compensation of salespersons from fixed annual salaries totaling $204,100 to total salaries of $42,000 plus a 6% commission on net sales. 3. purchase new high-tech factory machinery that will change the proportion between variable and fixed cost of goods sold to 50:50. the break-even point in dollars for 2011 is 1,500,000 compute the break-even point in dollars under each of the alternative courses of action. (round answers to 0 decimal places, e.g. 125. for computational of unit costs and contribution margin ratios, round to 4 decimal places, e.g. 10.2520. round all other computations to 0 decimal places, e.g. 125.) 1. increase selling price$ 2. change compensation$ 3. purchase machinery$

That's a lot of work to ask of us. Especially since you will be getting the credit for it.

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Gorham manufacturing's sales slumped badly in 2010. for the first time in its history, it operated at a loss. the company's income statement showed the following results from selling 600,000 units of product: net sales $2,400,000; total costs and expenses $2,540,000; and net loss $140,000. costs and expenses consisted of the amounts shown below. totalvariable fixed cost of goods sold$2,100,000$1,440,000 $660,000 selling expenses 240,000 72,000 168,000 administrative expenses200,000 48,000 152,000 $2,540,000 $1,560,000 $980,000 management is considering the following independent alternatives for 2011. 1)increase unit selling price 20% with no change in costs, expenses, and sales volume. 2)change the compensation of salespersons from fixed annual salaries totaling $150,000 to total salaries of $60,000 plus a 3% commission on net sales. 3)purchase new automated equipment that will change the proportion between variable and fixed cost of goods sold to 54% variable and 46% fixed. the break-even point in dollars for 2010. $ 2800000 compute the break-even point in dollars under each of the alternative courses of action. 1. $ 2138182 2. $ 2766667 3. $ what is the third?!! which course of action do you recommend?!!

Hi friends? I am not understanding your question. please try to make your question short and clear.

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Giere manufacturing has a bad year in 2011. for the first time in its history it operated at a loss. the company's income statement showed the following results form selling 80,000 units of product: net sales$ 1,600,000; total costs and expenses &1740000 and net loss $140,000. ost and expenses consisted of the following cost of goods sold total: 1200000 variable:780000 fixed: 420000 selling expenses total: 420000 variable: 75000 fixed 345,000 administrative expenses total: 120000 variable: 45000 fixed: 75000 management is considering the following independent altenatives for 2012 1. increase unit selling pirce 25% with no change in cots and expenses. 2. change the compensation of salespersons from fixed annual salaries totaling $200,000 to total salaries of $40,000 plus a 5% commission on net sales. 3. purchase new high-tech factory machinery that willl change the proporation between variable and fixed cost of goods sold to 50:50.

1. Price per unit is now $25. VC is still the $11.25. Fixed costs are still $840k. Subtract $11.25 from $25 and then divide $840k by that number ($13.75). You need to sell 61,091 units to break even. That's $1,527,275 in sales. 2. Your fixed costs went down by $160k. But your variable cost went up by 5% of net sales. Cost of unit is $20, minus $9.25 variable cost (not counting 5%). So that's a net sale of $10.75 unit. Add 5% and it's about $11.29/unit. Divide that into $680k and you need to sell 60,230 units to break even. That's $1,204,606. On this one I would double check that the commission is on "NET SALES" rather than "GROSS SALES". Big difference. 3. I don't really get this one. How can a variable cost be 50/50 with a fixed cost at any point? And if we are using 2011 numbers, are we going by the variable costs of $900k or the fixed costs of $840k? And I don't know what 'proporation' means. Is that proportion? It still doesn't make sense.

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In 2010, hadicke company had a break-even point of $350,000 based on a selling price of $7 per unit and fixed costs of $105,000. in 2011, the selling price and the variable cost per unit did not change, but the break-even point increased to $420,000. compute the variable cost per unit and the contribution margin ratio for 2010. variable cost per unit$ ___________ contribution margin ratio% __________ compute the increase in fixed costs for 2011. $ ___________________

IN 2010: BREAK-EVEN POINT($)= (FIXED COSTS)/(CMR) -----> 350,000 = 105,000/CMR -----> CMR = 0.3 = 30% CMR = CM/SALES = [CM/UNITS]/[SALES/UNITS] = (PRICE - VARIABLE COST PER UNIT)/(PRICE) ------> 0.3 =(7 - VC PER UNIT)/7 --------> VC PER UNIT = $4.9 per unit -------------------------------------------------------------------------------------- IN 2011: selling price and the variable cost per unit did not change ------> CMR DID NOT CHANGE. SO THE FIXED COSTS MUST HAVE CHANGED SINCE THE BREAK - EVEN POINT CHANGED. (BREAK-EVEN POINT($) = FIXED COSTS/CMR) BREAK-EVEN POINT($) = FIXED COSTS/CMR ------> FIXED COSTS = BREAK-EVEN POINT($) * CMR -------> FIXED COSTS FOR 2011 = 420,000 * 0.3 -----> FIXED COSTS IN 2011 = $126,000 INCREASE IN FIXED COSTS FOR 2011 = FC 2011- FC 2010 = 126,000 - 105,000 = $21,000

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In 2010, hadicke company had a break-even point of $350,000 based on a selling price of $7 per unit and fixed costs of $105,000. in 2011, the selling price and the variable cost per unit did not change, but the break-even point increased to $420,000. compute the variable cost per unit and the contribution margin ratio for 2010. variable cost per unit$ ______ contribution margin ratio% _________ compute the increase in fixed costs for 2011. $ ________________

The debit is on the left, the credit is on the right, that much I know for sure. But the rest of the question does have me on pins and needles. I just returned from a party and everyone had a chance to look at the question and offer their opinion. Needless to say, it was a very mixed and heated debate and there was little consensus. What we did manage to conclude is that your answer is readily available in a book we all recommend. I have added the link below and if I were you, I would get my hands on that before everyone at the party buys them all up. I realize knowing the exact answer would be helpful. But a good second choice is knowing with confidence where it can be found.

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In 2011, hoffmann company had a break-even point of $439,200 based on a selling price of $9.00 per unit and fixed costs of $140,544. in 2012, the selling price and the variable cost per unit did not change, but the break-even point increased to $548,100. a) compute the variable cost per unit and the contribution margin ratio for 2011. b) compute the increase in fixed costs for 2012

After you calculate your answers you can check them with mine. a) Variable cost per unit $6.12 contribution margin ratio 32% b) Fixed costs increased by $34,848

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My 2 year fixed term of 4.3% comes to an end this august 2011. during these 2 years i have incurred 3 months of arrears as i was off sick from work for 6 months. i depleted my savings to get me through. anyhow i am back at work now. i was informed that my arrears would affect my credit profile for up to 6 years. when my mortgage term comes to an end i know that it will revert back to the standard variable rate. i know i cannot get an interest only mortgage due to my previous arrears. however, would the arrears on my credit profile prevent me from getting another fixed term mortgage? my current mortgage provider has said that when it comes to renewal in august that they will not take my credit history into account if i renew with them. now they have changed their tune and cannot give me a straight answer. will my credit history mean that i am penalized from entering another fixed term or am i stuck on standard variable rate for 6 years? i desperately want to cash in on some of the low % offers that are around at the moment. thanks in advance

I would suggest that if the amount you want to borrow is less than 60% of the current market value of the property, generally you are likley to be told 'yes' ... if you are looking for 85% or over, almost guaranteed 'no'. However you won't know for sure until you apply .... however the 'best deals' are offered to the 'best payers' (obviously) ....