Find amount of total car sales at which bm motors would be

Assignment Help Managerial Accounting
Reference no: EM132564623

Question 1: BM Motors, Inc. employs 40 sales personnel to market its line of luxury automobiles. The average car sells for P1,200,000 and a 6% commission is paid to the salesperson. BM Motors is considering a change to a commission arrangement that would pay each salesperson a salary of P24,000 per month plus a commission of 2% of the sales made by that salesperson. The amount of total car sales at which BM Motors would be indifferent as to which plan to select is

Option A. P22,500,000

Option B. P30,000,000

Option C. P24,000,000

Option D. P12,000,000

Reference no: EM132564623

Questions Cloud

What amount of interest cost should Harbor capitalize : Harbor Co. began constructing a building for its own use in January of the current year. What amount of interest cost should Harbor capitalize
Determine the amount of the first monthly payment : Assuming the payments begin immediately, determine the amount of the first monthly payment that T must include in gross income
What is filer aftertax cost of debt : Filer Manufacturing has 9,394,698 shares of common stock outstanding. The current share price is $33.73, and the book value
Compare the republican and democratic party : Compare and contrast the Republican and Democratic party based on the information you found in the required worksheet
Find amount of total car sales at which bm motors would be : 2% of the sales made by that salesperson. The amount of total car sales at which BM Motors would be indifferent as to which plan to select is
What would Rye report as the Accumulated Depreciation : What would Rye report as the Accumulated Depreciation on the 12/31/13 balance sheet using the double-declining-balance method
Proposes one change to our electoral system : In your initial discussion post this week present an argument that proposes one change to our electoral system.
What is the present value of an annuity : What is the present value of an annuity that pays $99 at the end of each of the next 8 years, and an additional $1,000
Determine the amount of any Qualified Business Income : T earns $10,000 in qualified dividends. Determine the amount of any Qualified Business Income Deduction to which T is entitled

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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