Repair and maintenance coverage over its products

Assignment Help Accounting Basics

Reference no: EM131025670

Polaris offers extended service contracts that provide repair and maintenance coverage over its products. As you complete the following requirements, assume that the Polaris services department uses many of Polaris's existing resources such as its facilities, repair machinery, and computer systems. Write a two-page report addressing the following topics:

Identify several of the variable, mixed, and fixed costs that the Polaris services department is likely to incur in carrying out its services.
Assume that Polaris's services revenues are expected to grow by 25% in the next year. How do you expect the costs identified in part 1 to change, if at all?
Based on your answer to part 2, can Polaris use the contribution margin ratio to predict how income will change in response to increases in Polaris's services revenues?

Use the following Research Paper Format:

Times New Roman, with 12-point font size
Double Spaced
1-inch report margins

Your Research Paper will be graded based upon theWriting Rubric.

Reference no: EM131025670

Questions Cloud

Determining the balance on the job cost sheets : Determine the balance on the job cost sheets for Jobs 50 and 51 at the end of April.

Write a system of two equations in two unknowns : Make a graph showing possible waist and hip sizes for good health for women in this age group for which hip size is no more than 50 inches.

What are the earnings per share and dividends per share : Billy’s Exterminators, Inc., has sales of $658,000, costs of $310,000, depreciation expense of $62,000, interest expense of $41,000, a tax rate of 35 percent, and paid out $64,800 in cash dividends. The firm has 120,000 shares of common stock outstan..

Evaluate international trade opportunities : List the key ideas you have extracted from the prescribed e-learning activity - identify an organisation which would benefit from the application of these ideas

Repair and maintenance coverage over its products : Polaris offers extended service contracts that provide repair and maintenance coverage over its products. As you complete the following requirements, assume that the Polaris services department uses many of Polaris's existing resources such as its..

Find the probability that she is closer to a than to b : If a parachutist lands at a random point on a line between markers A and B, find the probability that she is closer to A than to B. Find the probability that her distance to A is more than three times her distance to B.

Find the mean and variance of the volumes of these particles : In sedimentation involving mixtures of particles of various sizes, the larger particles hinder the movements of the smaller ones. Thus, it is important to study both the mean and the variance of particle sizes. Suppose that spherical particles hav..

Find probability that the defective board was manufactured : The number of defective circuit boards coming off a soldering machine follows a Poisson distribution. During a specific eight-hour day, one defective circuit board was found. Find the probability that it was produced during the first hour of operat..

What is the total economic surplus in the market for gadgets : What is the total economic surplus in the market for Gadgets? What would be the Deadweight loss if the government imposes a price ceiling at $ 14

User Account

All Pages