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Charra [1.4K]
2 years ago
12

A company sold 20,000 units of its product for $20 each. Variable cost per unit is $11. Fixed expenses total $150,000. The compa

ny's contribution margin is ______.
Business
1 answer:
Aleksandr-060686 [28]2 years ago
3 0

$180,000

Contribution margin = 20,000 x ($20-$11) = $180,000

<h3><u>What is marginal cost ?</u></h3>

The difference in total production costs caused by creating or manufacturing one more unit is known as the marginal cost in economics. Divide the variation in production costs by the variation in quantity to determine marginal cost. Finding the point at which an organization may realize economies of scale to improve production and overall operations is the goal of marginal cost analysis. The producer may make money if the marginal cost of manufacturing one more unit is less than the price per unit.

In management accounting, the idea of marginal cost is crucial because it may be used to maximize output through economies of scale within an organization.

To view similar questions about company's marginal cost, refer to:

brainly.com/question/16995594

#SPJ4

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What is the expected return if a firm has a payout ratio of 0.4, a return on equity of 25%, and a dividend yield of 6%
Varvara68 [4.7K]

Answer:

21%

Explanation:

We can calculate the expected return of a firm by add dividend yield and growth rate but in this question, the growth rate is not given therefore we will find growth rate first with the available data

DATA

Payout ratio = 0.4

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Dividend yield = 6%

Solution

Growth rate = Return on equity x retention ratio

Growth rate = Return on equity x (1 - payout ratio)

Growth rate = 25% x (1-0.4)

Growth rate = 25% x 0.6

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Which of the following is one of the reasons that the supply curve for loanable funds is upward sloping? A lower real interest r
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Answer:

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Explanation:

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Given,

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