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densk [106]
3 years ago
14

Darwin Inc. sells a particular textbook for $29. Variable expenses are $21 per book. At the current volume of 44,000 books sold

per year the company is just breaking even. Given these data, the annual fixed expenses associated with the textbook total:______________
a) $352,000
b) $1,276,000
c) $1,628,000
d) $924,000
Business
1 answer:
Dvinal [7]3 years ago
7 0

Answer:

The answer is A

Explanation:

To start with;

Contribution margin per unit = selling price($29) - variable cost($21)

$29 - $21

= $8 per book...

So break even sales =fixed cost(expense) / contribution margin.

Break even sales is 44,000 units and contribution margin is $8.

Therefore, fixed cost or expenses=

Break even sales x contribution margin

44,000 x $8

=$352,000

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On January 2, 2018, Baltimore Company purchased 14,000 shares of the stock of Towson Company at $13 per share. Baltimore obtaine
Norma-Jean [14]

Answer:

$315,600

Explanation:

Ownership = 40%

Investment = $182,000                

Share of dividends = 40%*21,000 =8400

Share of income = 40%*75000 = 30000

Increase in share price = $21-$13= $8

                                                                                 investment

                                                                   Dr                                        Cr

Investment                                     $182,000

Dividend received                                                                              $8400

Income received                              $30,000

Increase in share price                    $112,000

                                                         324,000                                      315,600

                                                   

5 0
3 years ago
How does lack of a good transportation system cause labour inefficiency (economics)
taurus [48]
Because good transportation will provide jobs so if you do not have a good transportation system there will be lost jobs also a lack of good transportation will increase congestion on roads.
6 0
3 years ago
True/False
lara [203]

Answer:

the answer is True.

Explanation:

There are 2 traits in an effective market segment.

  1. It is internally homogeneous (potential customers in the same segment prefer the same product qualities ).
  2. It is externally heterogeneous. In other words, potential customers from different segments have different quality preferences. It responds consistently to a given market stimulus.
4 0
3 years ago
Silver Corporation incurred costs of $600,000 for managing the wholesale division during the year. The customer details of the c
elena-s [515]

Answer: $200,000

Explanation:

The cost will be allocated to customer Y, if a cause-effect relationship cannot be established with any cost driver will be calculated thus:

Total sales = $600,000 + $400,000 + $200,000 = $1,200,000

The percentage of Y on total sales will be:

= $400,000/$1,200,000 × 100

= 1/3 × 100

= 33.33%

Therefore, the cost that's allocated to Y will then be:

= $600,000 × 33.33%

= $600,000 × 0.3333

= $200,000

Therefore, the correct answer is $200,000

8 0
3 years ago
Kim is the sales representative for a major textbook publisher. When she calls on the business faculty at General University, sh
Juli2301 [7.4K]

Answer:

Users

Explanation:

The users be the ones to use the product, initiate the purchase process, generate purchase specs and evaluate product performance after the purchase.

5 0
4 years ago
Read 2 more answers
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