What is the contribution margin? ratio

Assignment Help Financial Accounting
Reference no: EM132314983

Question

Paint and Sip sells admission tickets for a painting class for $60 each. The cost of providing the canvas and supplies is $31 per ticket and the fixed cost of operating the art gallery is $45,000 per month.

The company can accommodate 5,100 patrons each month. What is the contribution margin? ratio?

Reference no: EM132314983

Questions Cloud

Find the variable cost per unit is : Total fixed costs for Taylor Incorporated are $270,000. Total? costs, including both fixed and? variable, are $500,000 if 130,000 units are produced.
Discuss effectiveness of east asian industrial policies : Economists are divided over the effectiveness of East Asian industrial policies. Provide a balanced assessment of the issues relevant to understanding the role.
At what amount are june payments for purchases? budgeted : All purchases are paid 45?% in the month of purchase and 55?% the following month. At what amount are June payments for purchases? budgeted?
What is? j-as operating leverage factor at the target level : Variable expenses are 30?% of sales and monthly fixed expenses are $8,400. What is? J&A's operating leverage factor at the target level of operating? income?
What is the contribution margin? ratio : The cost of providing the canvas and supplies is $31 per ticket and the fixed cost of operating the art gallery is $45,000 per month.
Identify any problems regarding crime control : Crime control is frequently presented in the media. More specifically, many television shows, music videos, and prime-time specials portray different.
What are the breakeven sales in? dollars : A product is sold at $80 per? unit, the variable expense per unit is $20?, and total fixed expenses are $225,000?, what are the breakeven sales in? dollars?
The amount of cash that will be collected in july is budget : Distribution Corporation collects 40?% of a? month's sales in the month of? sale, 55?% in the month following? sale, and 5?% in the second month following sale.
Would recommendations you listed create controversy : A pressing issue in today's criminal justice system is how to provide security from terrorism, so that citizens can continue to move freely throughout society.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Difference of acquisition cost and market value of inventory

How should differences between acquisition cost and the market value of inventory be reported on the balance sheet under IFRS and U.S. GAAP?

  What is the breakdown point in units and in sales dollars

Scott Confectionery sells its Stack-0-Choc candy bar for $0.80. The variable cost per unit for the candy bar is $0.45; total fixed costs are $175,000. What is the contribution margin per unit for the Stack -O- Choc candy bar? What is the contribution..

  What is the appropriate number of shares to be used

What is the appropriate number of shares to be used in the basic earnings-per-share computation for 2011?

  Equipment for without having to recognize

the maximum selling price that Lorenzo could sell the equipment for without having to recognize any Section 1245 ordinary income

  Compute gross profit for the black and navy divisions

Marian Corporation has two separate divisions that operate as profit centers. The following information is available for the most recent year.

  What is the surplus or deficit of the rtwmtc

You have been hired as an executive director of a small nonprofit organization. Among your many duties are to determine an annual budget and develop a fiscal plan for the organization.

  Find will be the net book value of the machine

What will be the net book value of the machine at the end of its 8 th  yr of use before it is disposed of, under each depreciation method?

  Process cost accounting system

The following journal entries are recorded in Kiera Co.’s process cost accounting system. Kiera produces handbags and scarves. Overhead is applied to production based on direct labor cost for the period. Prepare a brief explanation (including any ove..

  Compute the book value of the common stock

Morgan Sondgeroth Inc. began operations in January 2012 and reported the following results for each of its 3 years of operations. 2012 $287,400 net loss 2013 $43,600 net loss 2014 $739,800 net income At December 31, 2014, Morgan Sondgeroth Inc. capit..

  Firm needs to plow back its earnings to fuel growth

Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next nine years because the firm needs to plow back its earnings to fuel growth. The company will pay a $12 per share annual dividend 10 years from..

  Create an inventory purchase budget

Create an inventory purchase budget using the sales manager's estimate. and create an inventory purchases budget using marketing consultants estimate.

  Journalize each of the transactions for september

Journalize each of the transactions for September, set up T-accounts, and post each of the journal entries made in (1).

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!

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