1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
GenaCL600 [577]
3 years ago
15

The following costs result from the production and sale of 4,450 drum sets manufactured by Tight Drums Company for the year ende

d December 31, 2019. The drum sets sell for $295 each. The company has a 30% income tax rate.
Variable production costs
Plastic for casing $185,000
Wages of assembly workers 510,000
Drum stands 230,000
Variable selling costs
Sales commissions 175,000
Fixed manufacturing costs
Taxes on factory 5,000
Factory maintenance 10,000
Factory machinery depreciation 70,000
Fixed selling and administrative costs
Lease of equipment for sales staff 10,000
Accounting staff salaries 60,000
Administrative management salaries 140,000

Required:
Prepare a contribution margin income statement for the company.
Business
1 answer:
Debora [2.8K]3 years ago
6 0

Answer:

Explanation:

Sales  1,312,750  [4450*295]

Variable Costs

Variable production costs :

Plastic for casing  185,000  

Wages of assembly workers  510,000  

Drum stands 230,000  

Variable selling costs :

Sales commission  175,000

<u>Total Variable Costs  1,100,000  </u>

Contribution Margin  312,750

Less: Fixed Costs

Taxes on factory  5000

Factory maintenance  10,000

Factory machinery depreciation  70,000

Lease of equipment for sales staff  10,000

Accounting staff salaries  60,000

Administrative management salaries  140,000

Total fixed costs 295,000

Profit Before Tax  17,750

Less: Income tax [17,750*30%] 5,350

Net income 12,425

You might be interested in
_____ is best described as an integrative management field that combines analysis, formulation, and implementation in the quest
Orlov [11]

Answer:

Strategic management

Explanation:

Definition:

Strategic management is the identification, selection and implementation of an organisations long term goal and its objectives. It takes into account the concerns and existence of all stakeholders.

Three components of strategic management:

  1. Strategic Analysis - takes into account factors affecting the internal and the external environment of the business.
  2. Strategic Choice - involves the formulation, evaluation and selection of strategic options.
  3. Strategic implementation - involves implementing and monitoring the strategies selected by the business.
8 0
3 years ago
Mrs. Jones owns stock from which she received $3,000 in cash dividends. Mr. Jones owns stock from which he received $400 in cash
Nookie1986 [14]

Answer:

$3,400

Explanation:

Calculation for How much of the cash dividends received are Mr. and Mrs. Jones liable for

Cash dividends received=Cash Dividend+ Cash Dividend

Cash dividends received=$3,000+$400

Cash dividends received=$3,400

Therefore the amount of the cash dividends received are Mr. and Mrs. Jones liable for when filing their joint return is $3,400 reason been that Cash dividends received by a person or an individual are totally taxable which is why the total amount of $3,400 was liable for taxes.

5 0
3 years ago
Higher income taxes cause a ____________ shift of the labor supply curve, which then produces __________ Real GDP. a. leftward;
TEA [102]

Answer:

Option (d) is correct.

Explanation:

If there is an increase in the income taxes then as a result there is a leftward shift in the labor supply curve and we know that labor supply curve indicates the the amount of labor hours workers devoted towards the production of the goods. Hence, this will lead to a reduction in the real GDP as there will be less working hours devoted by the workers because of the higher income taxes.

5 0
3 years ago
What results when work seeps into non-work time?
tankabanditka [31]

burnouts im guessing

7 0
1 year ago
Testing the probability of a relationship between variables occurring by chance alone if there really was no difference in the p
12345 [234]

Answer:

b.significance testing is answer.

Explanation:

I hope it's helpful!

7 0
3 years ago
Other questions:
  • Which of these expressions should an american businessperson avoid in a meeting with foreign business representatives?
    11·1 answer
  • An effect of transportation improvements on settlements was that
    7·2 answers
  • Which of these phrases is call to action
    11·1 answer
  • Prepare the Budgets given the following information Budgeted sales are expected to be: January 200 Units February 300 Units Marc
    6·1 answer
  • One of the results of the increase in the older population of the United States is
    6·2 answers
  • Sara wants to have $600,000 in her savings account when she retires. How much must she put in the account now, if the account pa
    14·1 answer
  • A ________ is an unsecured bond, and most of the bonds sold today in the United States are of this type.A) mortgage bondB) deben
    8·1 answer
  • Computing Basic and Diluted Earnings per Share Soliman Corporation began the year 2018 with 25,000 shares of common stock and 5,
    10·1 answer
  • Compare and Contrast the four current perspectives of organizational effectiveness.
    8·1 answer
  • A buyer-supplier relationship is formed around leverage items in portfolio analysis to attain the desired levels of quality, qua
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!