Reference no: EM132933020
Question - The Cookie Monster Co. has provided the following relating to the most recent month (August 31, 2016) of operations, for their main product, cookies. The company sold 20,000 cookies.
Total Sales 40,000
Cost of Goods Sold 16,000
Fixed Selling Costs 2,000
Fixed Administrative Costs 5,000
Variable Selling Costs 10% of sales
Variable Administrative Costs 2,000
Required -
a. Based on the original information, prep a contribution margin income statement in good format for next month's expected operations. The owner has estimated that 25,000 cookies will be sold next month. Include per unit and percentage columns where applicable.
b. The owner thinks that they could only sell 25,000 cookies next month if $4,000 were spent on an advertising campaign. Should the company proceed with the advertising campaign? (Note: Refer to original sales data for the most recent month when making the decision).
|
What would be Sherry loan balance
: The amortization period was set at 8 years, with payments made monthly. What would be Sherry's loan balance after 15 months
|
|
What is the correcting entry
: When posting the journal entry, the bookkeeper commits a slide error and records the entry for only $7,500. What is the correcting entry
|
|
Journalize the adjusting entry on December
: Journalize the adjusting entry on December 31, assuming ABC determines that XYZ $1,400 balance is uncollectible
|
|
What is the bond yield to maturity
: Regal Health Plans issued a ten-year, 12 percent annual coupon bond a few years ago. The bond now sells for $1,100. What is the bond yield to maturity
|
|
Prep a contribution margin income statement
: Based on the original information, prep a contribution margin income statement in good format for next month's expected operations
|
|
Calculate the direct-material price and quantity variances
: Actual completed production: 1,050 units. Calculate the direct-material price and quantity variances and the direct-labor rate and efficiency variances
|
|
Calculate operating cash flow
: Depreciation method 3 years straight-line method, no salvage value. Calculate operating cash flow and the change in net working capital
|
|
How much of the sales are still under warranty
: Assuming that sales and repairs occur evenly throughout the period, how much of the 2020 and 2021 sales are still under warranty on December 31, 2021
|
|
Is this testing will enough to come to conclusion
: Nadia concluded that the amount for advertising expenses was reasonable. Is this testing will enough to come to conclusion
|