User Account

All Pages

Thomas company has total fixed costs of 360000 and variable

Assignment Help Accounting Basics
Reference no: EM13484309

Thomas Company has total fixed costs of $360,000 and variable costs of $14 per unit. If the unit sales price is reduced from $24 to $20 and advertising is increased by $10,000, sales will increase from 40,000 to 65,000 units.

What are the contribution margin and net income under the revised conditions?

  1. $650,000 and $280,000 respectively.
  2. $400,000 and $40,000 respectively.
  3. $280,000 and $40,000 respectively.
  4. $390,000 and $20,000 respectively.
  5. $400,000 and $20,000 respectively.

Reference no: EM13484309

Questions Cloud

If two firms have the same current dividend and the same : if two firms have the same current dividend and the same expected growth rate their stocks must sell at the same
A product sells for 360 per unit and its variable costs per : a product sells for 360 per unit and its variable costs per unit are 290. the fixed costs are 588000. what is the
Which of the following is not a typical note included in an : which of the following is not a typical note included in an annual report?a. a note describing the auditors opinion of
Heavenly hotels inc will not pay any dividends for the next : heavenly hotels inc. will not pay any dividends for the next three years. heavenly will pay its first dividend of 2.00
Thomas company has total fixed costs of 360000 and variable : thomas company has total fixed costs of 360000 and variable costs of 14 per unit. if the unit sales price is reduced
Southwest technologys common stock is selling at 30 per : southwest technologys common stock is selling at 30 per share today. southwest just paid a 2 dividend. its dividend is
Larry james is planning to invest 25200 today in a mutual : larry james is planning to invest 25200 today in a mutual fund that will provide a return of 0.09 each year. what will
Which of the following is not one of the four items : which of the following is not one of the four items required to be shown in the heading of a financial statement?a. the
As stated in the audit report or report of independent : as stated in the audit report or report of independent accountants the primary responsibility for a companys financial

Reviews

Write a Review

Accounting Basics Questions & Answers

  Is the related lease finance or operating lease

Identify some benefits that might accrue to Lion Nathan as a result of the sale and lease back transaction?

  Developing a new product for market

During 2007, a company began researching and developing a new product for market. By June 30, 2008, the company had determined the new product was technologically feasible and developed a business plan including identification of a ready market fo..

  What is the break-even sales (units)

If fixed costs are $300,000, the unit selling price is $31, and the unit variable costs are $22, what is the break-even sales (units) if fixed costs are reduced by $30,000?

  Fifo rarely encountered in process costing

A reason why "pure" FIFO is rarely encountered in process costing is that:

  What framework is used by most u.s. public companies

What is meant by setting a preliminary judgment about materiality? What are the most important factors affecting preliminary judgment on materiality?

  Adjusted balance of gleason advertising company

Prepare the adjusting entry at December 31, and using T accounts, enter the balances in the accounts, post the adjusting entry, and indicate the adjusted balance in each account.

  Identify three potential users and design a subschema for ea

Identify three potential users and design a subschema for each. Justify your design by explaining why each user needs access to that data element.

  Conversion of the bonds problem

At the time of the conversion, the unamortized premium is $2,000, the market value of the bonds is $110,000, and the stock is quoted on the market at $60 per share. If the bonds are converted into common, what is the amount of paid-in capital in e..

  Complete the three-column comparative income

A new wholesaler has offered to buy 17,000 packages for $3.47 each. These markers would be marketed under the wholesaler's name and would not affect Cayman Products' sales through its normal channels.

  Planning of fixed overhead costs

Which of the following pertains primarily to the planning of fixed overhead costs?

  Information regarding break-even point

Scott Company's variable expenses are 72% of sales. The company's break-even point in dollar sales is $2,450,000. If sales are $60,000 below the break-even point, the company would report a:

  Overhead cost related to website optimization

Explain why the overhead cost related to website optimization was first divided into two categories (unframed prints and framed prints) and then allocated based on number of prints.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd