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kati45 [8]
4 years ago
6

Jodie’s chicken-on-a-stick food truck sells about $500 various chicken combo platters per day with an average price of $8. On av

erage, each chicken platter cost $5 (this includes labor, materials and miscellaneous). Jodie’s profit margin is ________.
O $312
O $2,500
O $3 per chicken platter
Business
1 answer:
cluponka [151]4 years ago
5 0

Answer:

The profit margin here is $3

Explanation:

The profit margin is calculated by

Profit Margin = Sales - Cost of Sales  

And

Cost of sales includes all the labour costs, cost of the inventory that has been sold, overhead cost absorbed in the inventory, depreciation etc.

So here we have cost of sales per unit of $5 per unit and selling price of per unit is $8.

By putting values we have:

Profit Margin = $8 per unit - $5 per unit = $3 per unit

You might be interested in
The Simon Company (SIMON) currently has $300,000 market value (and book value) of perpetual debt outstanding carrying a coupon r
Reptile [31]

Answer:

The answer is "4,750"

Explanation:

They have indeed been given the information that we require.

The current market cap for Simon Company (SIMON) is $300,000.

rate= 6%

EBIT=$150,000

The business has no plans to expand.

The current cost of capital is 8.8%,

The tax rate is 40%.

The company has 10,000 shares of common stock mostly on market.

The stock is being offered at a $90.00 per share price.

Assume SIMON is considering switching in its current financial performance to one that results in a share price of $96 per share.

The resultant capital structure would have a combined valuation of $504,000 in capital and $756,000 in equity.

Remaining Shares= equity market value /  per share price

n =\frac{S}{P}  \\\\= \frac{\$504,000}{ \$96}\\\\= \$5,250

The initial number of shares minus the resultant number of shares equals the number of repurchased shares:

AJC will buy back a certain number of shares.

= 10,000 - 5,250\\\\= 4,750\\

8 0
3 years ago
What is accounts payable​ turnover? A. Purchases on account divided by average accounts payable B. A measure of the number of ti
goblinko [34]

Answer:

The correct answer is letter "D": All of the listed answers are correct.

Explanation:

Accounts Payable Turnover ratio measures the speed at which a company pays its suppliers. The ratio is calculated by dividing the company's total purchases from suppliers by its average accounts payable amount over the same period. The accounts payable turnover ratio measures the liquidity firms have in the short-term.

7 0
3 years ago
Epsilon Co. can produce a unit of product for the following costs:Direct material $7.70Direct labor 23.70Overhead 38.50Total cos
Lesechka [4]

Answer:

Make since the relevant cost to make it is $58.35

Explanation:

\left[\begin{array}{cccc}&$produce&$buy&$Differential\\$Purchase&-&-62.35&-62.35\\$Manufacturing Cost&-58.35&-&58.35\\$Allocate Cost&-11.55&-11.55&-\\$Total Cost&-69.9&-73.9&-4\\\end{array}\right]

<u></u>

<u>The manufacturing cost will be:</u>

direct material 7.70

direct labor    23.70

Overhead 38.5 x 70% = 26.95

Total manufacturing cost 58.35

Allocated cost 11.55

The purchase cost is higher than our manufacturing cost of 58.35

It is better to make the unit.

The purchase option generates a differential loss for $4

7 0
4 years ago
Will give Brainliest Answer! What type of competitive situation is this?
hram777 [196]
That would be
C. Oligopoly Conpetition
5 0
4 years ago
Case company allocates $5 overhead to each unit produced. the company uses a plantwide overhead rate with machine hours as the a
posledela

Let Department 2 Machine hours Be x, and using the equation below. 

<span>Find  ATQ : </span>

<span>          5= (440000 + 245000) / (74000 + x)</span>

          => 370000 + 5x = 685000

          =>x = 63000

 

Therefore, there are 63,000 machine hours that the company expects in Department 2.

<span> </span>

6 0
3 years ago
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