Answer:
$10,900
Explanation:
The computation of net operating income (loss) for the month under variable costing is shown below:-
Sales = Selling price × Units sold
= $116 × 8,600
= $997,600
Variable cost = (Direct material + Direct labor + Variable manufacturing overhead + Variable selling and administrative expenses) × Units sold
= ($19 + $61 + $7 + $11) × 8,600
= $98 × 8,600
= $842,800
Contribution Margin = Sales - Variable cost
= $997,600 - $842,800
= $154,800
Fixed cost = Fixed manufacturing overhead + Fixed selling and administrative expense
= $135,000 + $8,900
= $143,900
Net operating income = Contribution Margin - Fixed cost
= $154,800 - $143,900
= $10,900
Therefore for computing the net operating income we simply applied the above formula.
The Inventory Turnover Ratio, which can be calculated by dividing the cost of goods sold by the average inventory balance, can be used to measure how long a company keeps inventory before selling it.
Businesses may make better judgments in a range of areas, such as pricing, production, marketing, purchasing, and warehouse management, by measuring and calculating inventory turnover. In the end, the inventory turnover ratio measures how well the business makes sales from its inventory.
Inventory Turnover Ratio = Cost of Goods Sold / Avg. Inventory
Average inventory = (beginning inventory + ending inventory) / 2
The inventory turnover ratio calculates how frequently inventory is sold and replaced during a specific time frame.
Learn more about Inventory Turn over ratio here
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Marketing and advertising strategies seek to impact the largest number of subjects with the lowest amount of cost, thus maximizing profits by expanding the customer base, for this purpose various strategies are developed, including referral plans, which they consist of converting the current customers of our product into advertising agents of this product, seeking to convince them to receive recommendations from potential customers or that they themselves refer our product or service to one of their relatives, all in exchange for some kind of bonus or incentive, with which it is possible to impact in multiple social circles with a much lower cost than a media advertising campaign
Answer
This is a marketing strategy called referral plan
D. Price ceiling
This is a government regulation that establishes a maximum price for a specific thing.
