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Question 1: Karen's Quilts is considering the purchase of a new Long-arm Quilt Machine that will cost $17,500 and will increase her fixed costs by $119. What would happen if she purchased the new quilt machine to realize the variable cost savings of $5.00 per quilt, and what would happen if she raised her price by just $5.00? She feels confident that such a small price increase will not decrease the sales in units that will help her offset the increase in fixed costs. Given the following current prices how would the break-even in units and dollars change? Complete the monthly contribution margin income statement for each of these cases.
Question 2: Abilene Industries manufactures and sells three products (XX, YY, and ZZ). The sales price and unit variable cost for the three products are as follows: Their sales mix is reflected as a ratio of 4:2:1. Annual fixed costs shared by the three products are $345,000 per year.
a. What are total variable costs for Abilene with their current product mix?
b. Calculate the number of units of each product that will need to be sold in order for Abilene to break even.
c. What is their break-even point in sales dollars?
d. Using an income statement format, prove that this is the break-even point.
Go the Hershey website to learn how to make Hershey chocolate. Review the process and take a look at some of the videos. Pay particular attention to the process steps of milling and pressing, mixing the ingredients, and refining.
Describe all the errors in the preceding trial balance. Be specific. On the basis of the available data, what would a corrected trial balance look like?
a pension trust fund prepared two financial statements and two supplementary schedules. where does the obligation
List causes that could lead to a production-volume variance. What are the justifications for using practical capacity as the denominator volume when calculating the fixed overhead application rate?
During November, Arrow purchased 160,000 pounds of direct materials at a total cost of $304,000. What is the direct labor price (rate) variance for November
Under what three conditions would an investment holding be a candidate for sale? What must be true about the expected return on a risky investment.
Steve owns a rental property with an adjusted basis in Steve's hands of $100,000. What is Steve's RECOGNIZED gain on this transaction
Units sold, costs assigned to COGS
In the part, cost of goods sold has been 60% of total sales. Compute cost of goods seld for the entire nine-month period.
For each transaction, indicate whether it would normally be recorded in a cash receipts journal, cash payments journal, sales journal, single-column purchases journal, or general journal.
How would the accounting for the awards change if the modification to the terms of the award was made on January 1, 2014, after awards have become fully vested?
He was aware that the fees that would be incurred and charged to Seagar Company would be substantially higher, closer to 510.000.
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