Discuss departments in msu company should be discontinued

Assignment Help Accounting Basics
Reference no: EM131800634

A study has been conducted to determine if one of the departments in MSU Company should be discontinued. The contribution margin in the department is $50,000 per year. Fixed expenses charged to the department are $65,000 per year. It is estimated that $40,000 of these fixed expenses could be eliminated if the department is discontinued. These data indicate that if the department is discontinued, MSU's overall net operating income would:

Reference no: EM131800634

Questions Cloud

How to integrate airtran operations and airtran employees : What strategic issues and problems must Gary Kelly and Southwest executives address as they proceed to close the deal with the AirTran acquisition.
Examples of early modernist art such as cubism : This week, we looked at several examples of early modernist art such as Cubism, Fauvism, futurism, and expressionism. Let's discuss the relationships.
Present-day discussions of women and society : We'll follow up as a class to connect these historical issues to present-day discussions of women and society.
How much will you have at the end of ten years : How much will you have at the end of 10 years if the bank pays 3% annually, compounded monthly?
Discuss departments in msu company should be discontinued : Fixed expenses charged to the department are $65,000 per year. It is estimated that $40,000 of these fixed expenses could be eliminated
Define holistic risk and enterprise risk : 1. Inflation causes both pure and speculative risks in our society. Can you give some examples of each?
Determine westlake coffees monthly breakeven point : Determine Westlake Coffee's monthly breakeven point in the numbers of small coffees and large coffees. Compute margin of safety in dollars.
Compute depreciation recapture for sales : a. Calculate gain or loss and compute depreciation recapture for these sales.
Determining how to select a media venue : Discuss the steps used in determining how to select a media venue. Describe each of the five W's for your media planning.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Users of financial statements rely on the information

users of financial statements rely on the information available to them to decide whether to invest in a company or

  Summarize the events of a recent accounting scandal

Summarize the events of a recent accounting scandal. Identify how the illegal or unethical act was detected and describe the punishments that resulted.

  Herbert exchanges a business machine which has an adjusted

herbert exchanges a business machine which has an adjusted basis of 40000 for a new machine worth 40000. in addition he

  Compute the break-even amount for each of the products

Based on the apportionment of fixed costs in the schedule for question 5, compute the break-even amount for each of the products in units and dollars

  The western division of bestboot company has a rate of

the western division of bestboot company has a rate of return on investment of 15 and an investment turnover of 1.2.

  Compute the net present value for this machine using a

elite company is planning to add a new product to its line. to manufacturer this product the company needs to buy a new

  Discuss with your group the advantages and disadvantages of

a company giving scenic rides over the city in a helicopter has decided to close their business. the helicopter is for

  Calculate the cost of the units

Using this data, calculate the cost of the units that were transferred out of the Mixing Department and into the Refining Department

  Financially acceptable investment

How large would the annual net cash inflows from the intangible benefits have to be to make this a financially acceptable investment?

  Balanced scorecard is one of those management fads that

1. balanced scorecard is one of those management fads that will disappear several years in the future. in addition

  Degree of financial leverage

How much will a 10% increase in sales increase a firm's net operating income (NOI) and increase its net income (NI), if: its degree of operating leverage (DOL) = 2.0, and its degree of financial leverage (DFL) = 3.0? (b) its DOL = 2.5 and DFL = 4...

  Statement presentation of the related unrealized gain-loss

Indicate the statement presentation of the related unrealized gain (loss) accounts for each class of securities.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd