Answer:
Operating Income $75,000 $115,000
Explanation:
The computation of the operating income reflected is shown below:
Units 23,000 $31,000
Contribution Margin per Unit $5 $5
Contribution Margin (Units × Per Unit) $115,000 $155,000
Less : Fixed Cost -$40,000 -$40,000
Operating Income $75,000 $115,000
The contribution margin per unit is come from
= Selling price per unit - variable cost per unit
= $9 - $4
= $5
That he is adding paper to the copier
Answer: d. Taking the difference between the unadjusted balance in the allowance account and the desired balance of the allowance account.
Explanation: Bad debt expense is an unfortunate cost of doing business with customers on credit and recognizing bad debts leads to an offsetting reduction to accounts receivable on the balance sheet.
The balance-sheet approach for estimating bad debts expresses uncollectible accounts as a percentage of accounts receivable. That is, it takes the difference between the current balance of allowance for doubtful accounts and the amount calculated.
Therefore, if a company uses the balance sheet approach to estimate bad debt expense, bad debt expense for a period can be determined by taking the difference between the unadjusted balance in the allowance account and the desired balance of the allowance account.
Answer:
A. The statement is correct.
Explanation:
According to the law of supply, there is a positive or direct relationship between the price of wheat and the quantity of wheat supplied i.e if the price of wheat is increases then the quantity of wheat supplies is also increases and if the price of wheat decreases then the quantity of wheat supplies is also decreases that represents the direct relationship between the price and the quantity supplied
Hence, the first option is correct
