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Problem 1: A company has sales of $87,500 at the break even point and fixed costs are $35,000. Assuming cost behaviour does not change if sales increase by $20,000 how much will operating income will increase by?
A. $20,000.00.
B. $12,000.00.
C. $8,000.00.
D. $4,000.00.
If the sales price is increased to $50 per unit and nothing else changes, how much will net income increase? A company reports the annual
Make revised budget that will produce the most profit from the available materials. Direct material costs $2 per litre. Direct labor is paid at $10 per hour.
Assume Nellie Company expects to sell 24,000 units of product this coming month. Find the margin of safety in units. Find the margin of safety in sales dollars.
Bird Inc. has anticipated unit sales are January, 5,000; February, 4,000; and March 8,000. How many units must Bird produce in January
What would the break-even point be if managers projected a 60% - 40% sales mix for Red and Blue, respectively? How about a 40% - 60% sales mix.
Provide an example of the investment and financing decisions that financial managers make. Identify and describe one (1) of the financial markets.
A single production process converts a single raw material into 5,000 kg of joint product A and 5,000 kg of joint product B at a total cost of $100,000.
Solve the Material Quantity variance.Total material variance for the 4,200 kg of material issued.Material Purchase price variance. Material Issue price variance
It expects sales of 5,000 units in quarter 1 and a 5% increase each subsequent quarter for the next 8 quarters. What sales budget by quarter for the first year
Which can signal the need for a new product costing system?Line managers do not believe reported product costs./Overhead rates are high and increasing
Compute the total general and administrative expenses to be reported on the general and administrative expense budget per month.
What is the acid-test ratio for the current year? What is the inventory turnover for the current year? What are days' sales in receivables for the current year? What is the book value per share of common stock for the current year?
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