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The Dollar Store cost structure is dominated by variable costs with a contribution margin ratio of .30 and fixed costs of $30,000. every dollar of sales contributes 30 cents toward fixed costs and profit. the cost structure of a competitor.One-Mart, is dominated by fixed costs with a high contribution margin ration of.80 and fixed of $280,000.every dollar of sales contributes 80 cents toward fixed costs and profit.both companies have sales of $500,000 for the month.
Required A_ compare the two companies cost structure using the format shown in exhibit 3.5. B_ suppose the both companies experience a 15 percent increase in sales. by how much would each company s profit increase? this is 3-25 chapter 3, fundamental of cost accounting by lanen.
product cost abc company believes that it has an additional 5000 machine hours available in the current facility before
here is information related to schellhamer company for 2010. total credit sales 1532850 accounts receivable at december
you have been employed as a entry level management accountant for a little under a year. you suspect that your
What inventory system do you use and why? What are its advantages and disadvantages? What activities should you perform to correctly account for your inventory at year-end? Why is it important to track inventory? What does this information tell you a..
Jan 1 Paid $22, 989 cash plus $1,823 in sales tax for a new delivery truck estimated to have a five year life and a $3,560 salvage value. Delivery truck costs are recorded in the Trucks account. Prepare a journal entries to record these transaction..
suppose a student has a 20000 credit card debt on january 1. the company charge 12 annual interest rate and it is
hours worked, 48; federal income tax withheld, $341; cumulative earnings for year prior to current week, $96,780; social security tax rate, 6.0% on maximum of $103,004; and Medicare tax rate, 1.5% on all earnings. What is the net amount to be paid..
what is the perpetual method of tracking inventory? how does it differ from the periodic method of tracking inventory?
the unadjusted trial balance for the general fund of the city of jordan at june 30 2015 is as followsdebitsaccounts
When a depreciable asset is sold:
Net income for the year was $13,000. Prepare the operating and investing sections of a statement of cash flows for the year based on the data provided. Exercise
What difference does it make to Norman and to Robin how much is allocated to interest versus principal if the total of the cash payments will not change? Which interest rate would be better for Norman?
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