User Account

All Pages

Explain what the contribution margin ratio is

Assignment Help Financial Accounting
Reference no: EM132742780

Problem 1: At the beginning of the period, the Assembly Department budgeted direct labor of $110,000, direct materials of $170,000, and fixed factory overhead of $28,000 for 8,000 hours of production. The department actually completed 10,000 hours of production. The appropriate total budget for the department, assuming it uses flexible budgeting, is

a. $378,000
b. $350,000
c. $305,000
d. $288,000

Problem 2: If sales are $425,000, variable costs are 62% of sales, and operating income is $50,000, the contribution margin ratio is

a. 11.8%
b. 38.0%
c. 26.8%
d. 62.0%

Reference no: EM132742780

Questions Cloud

How well are the given theories put to practice : A walk through the Business section of any bookstore or a quick Internet search on the topic will reveal a seemingly endless supply of writings on leadership.
Manual accounting system to automated system : Imagine you are a consultant hired to convert a manual accounting system to an automated system.
Prepare the journal entry if any required : The fair value of the equipment at 31 December, 2017, is estimated to be $5 062 500. Prepare the journal entry if any required.
Merriam-webster dictionary defines unethical conduct : Merriam-Webster dictionary defines unethical conduct as an act or acts that do not conform to accepted standards of behavior.
Explain what the contribution margin ratio is : If sales are $425,000, variable costs are 62% of sales, and operating income is $50,000, what the contribution margin ratio is? What appropriate total budget
Identify a clinical issue of interest : When you decide to purchase a new car, you first decide what is important to you. If mileage and dependability are the important factors, you will search.
Financing alternatives and funding small businesses : Imagine your attempt to receive venture capital has failed and you must look elsewhere.
What the appropriate total budget for the department : The department actually completed 10,000 hours of production. The appropriate total budget for the department, assuming it uses flexible budgeting, is
Determine what the direct labor rate variance is : Determine what the direct labor rate variance is? Rate: standard, $12.00; actual, $12.25. Hours: standard, 18,500; actual, 17,955

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare a 20x8 consolidated income statement

Assume that Go-med is a joint venture owned by Insure and four other venturers, that the acquisition differentials are valid, and that it has not yet adopted IFRS 11: Joint Arrangements.  Prepare a 20X8 consolidated income statement for Insure using ..

  Journal entry to record annual depreciation at december

Calculate the amount of depreciation expense that Tiggy should record for Machine B each year of its useful life, under the following assumptions.

  Explain what is meant by business and financial risk

Is it true that Firm A also has a higher cost of equity capital? Explain. What are the basic assumptions behind the Markowitz portfolio theory?

  Partnership distributed-what amount is taxable

Susans salary is 44,000 and she received dividends of 600. She recieved a statement from SJ partnership indicating that her share of the partnership's income was 4,000. The partnership distributed 1,000 to her during the year and 600 after year end. ..

  Determine departmental overhead rate

Determine the total cost allocation and departmental overhead rate for the producing departments using the direct method. Show your work and producing departments using the step-down method.

  Discuss revenue recognition when the right of return exists

Identify items of cash (and cash equivalents), understand the importance of cash management, and discuss revenue recognition when the right of return exists.

  What is the materials price variance for the month

What is the materials price variance for the month? The following materials standards have been established for a particular product

  Compute the amount of cash initially received from factoring

DEF Company factored P6,000,000 of accounts receivable to a finance entity. Compute the amount of cash initially received from the factoring.

  Which credit facility would recommend to meet the need

Financing to help with inventory purchases as it gear up for each of these peak periods. which credit facility would you recommend to meet this need?

  Control that is not too expensive or overburdening

Assignment of Duties In this part of the assignment you are to determine whether GBI has effectively assigned its employees to each of the 26 sales tasks listed above. That is, you must assess whether GBI’s SOD constitutes good control – control that..

  Cash provided by operating activities and net income

Comment on the difference between net cash provided by operating activities and net income. Speculate on which number is likely to be the better indicator of long-term profitability.

  What amount of loss should somer report as extraordinary

A review of the December 31, 2014, financial statements of Somer Corporation revealed that under the caption "extraordinary losses," Somer reported a total of $1,130,000. Ignoring income taxes, what amount of loss should Somer report as extraordinary..

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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