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
Shtirlitz [24]
3 years ago
9

Hickory point amusement park sells admission tickets for $50 per person for one visit. variable costs are $15 per visitor and fi

xed costs are $60,000,000 per month. the company's relevant range extends to 2,000,000 visitors per month. what is hickory point's projected operating income if 1,750,000 visitors come to the park during the month?
Business
1 answer:
Kay [80]3 years ago
4 0
First, calculate for the total operating cost of the park through the equation,

   TC = TV + TF

where TC is the total cost,
     TV is the total variable cost which is equal to the product of the variable cost per visitor and number of visitor, and
     TF is the total fixed cost. 

Substituting the known values,
    TC = ($15)(1,750,000) + $60,000,000 = $86,250,000

Then, the total revenue is the product of the cost of ticket and the number of visitors.
     TR = ($50/visitor)(1,750,000 visitors) = $87,500,000

Subtracting the two values will give us an answer of $1,250,000.

ANSWER: $1,250,000
You might be interested in
to compute trend percentages the analyst should: multiple choice select a base period, divide analysis period amount by the base
I am Lyosha [343]

To compute trend percentages the analyst should select a base period, assign each item in the base period statement a weight of 100%, and then express financial numbers from other periods as a percent of their base period number.

Analysts collect, interpret, and use complex data to develop actionable steps to improve processes and optimize results. Every day, he or she assesses company and customer needs, obtains actionable information, and analyzes it to look for obvious trends and areas for improvement.

Analyst is defined as someone who studies the elements of a thing, often breaking it down into smaller parts to learn how the parts work together and what are the properties of the thing being studied. A psychotherapist is an example of an analyst.

Learn more about analyst here:brainly.com/question/26104792
#SPJ4

7 0
1 year ago
The direct write-off method: multiple choice follows the expense recognition (matching) principle. Is not permitted under GAAP.
Lera25 [3.4K]

Answer: is permitted if results are similar to the allowance method

Explanation:

The direct write-off method is refered to as an accounting method whereby the uncollectible accounts receivable are being written off as bad debt. Here, the bad debts expense account will be debited while the accounts receivable will be credited.

The direct write-off method is permitted if results are similar to the allowance method. For the allowance method, it should be noted that an estimation of the bad debt future amount will be charged to the reserve account once the sale takes place.

4 0
3 years ago
If $525,000 of bonds are issued during the year but $210,000 of old bonds are retired during the year, the statement of cash flo
geniusboy [140]

Answer and Explanation:

Given:

Issue of new bonds price = $525,000

Retired price of  bonds = $210,000

It is given that new bonds price a $525,000 issue and the value of retire Bond price will $210,000.

Issue of new bonds will increase cash by $525,000 because business gets cash from the issue of bonds and retire off the old bond will decrease cash by $210,000.

7 0
3 years ago
Williams company computed its cost per equivalent unit for direct materials to be $2.60 and its cost per equivalent unit for con
Zanzabum

(2.60X250,000)+(3.75X250,000)=1,587,500

8 0
3 years ago
Read 2 more answers
Consider a mutual fund with $219 million in assets at the start of the year and with 12 million shares outstanding. The fund inv
Ghella [55]

Answer:

Missing word <em>"What is the Rate of return"</em>

a. Asset at the end of the year = (Asset at the start of the year + Increase in value) * 12b-1 charges

Asset at the end of the year = ($219 million+ ($219 million * 7%)) * (1-0.50%)

Asset at the end of the year = ($219 million + $15.33 million) * 0.9950

Asset at the end of the year = $234.33 million * 0.9950

Asset at the end of the year = $233.16 million

Net asset value at the end of the year = Asset at the end of the year / Number of shares

Net asset value at the end of the year = $233.15835 million / 12 million

Net asset value at the end of the year = $19.430

b. Rate of return = (Net asset value at the end of the year + dividend per share - Net asset value at the start of the year) / Net asset value at the start of the year

Rate of return = ($19.430 + ($6 / 12) - $18.250) / $18.250

Rate of return = ($19.430 + $0.50 - $18.250) / $18.250

Rate of return = $1.68 / $18.250

Rate of return = 9.20%

5 0
3 years ago
Other questions:
  • Having a well formed budget can help you become a financially independent individual. Identify and explain two reasons a budget
    15·1 answer
  • A manufacturing company is thinking about building a new factory. The factory, if built, will yield the company $300 million in
    14·1 answer
  • currently, a firm has an EPS of $2.08 and a benchmark PE of 12.7. Earning are expected to grow by 3.8 percent annually. What is
    8·1 answer
  • The total factory overhead for Bardot Marine Company is budgeted for the year at $1,760,850, divided into four activities: fabri
    8·1 answer
  • On July 1, 2017, Brigham Corporation purchased Young Company by paying $250,000 cash and issuing a $100,000 note payable to Stev
    5·1 answer
  • Karen runs a print shop that makes posters for large companies. It is a very competitive business. The market price is currently
    8·1 answer
  • Luther Inc., has 4,000 shares of 5%, $50 par value, cumulative preferred stock and 100,000 shares of $1 par value common stock o
    7·1 answer
  • Because of the tvm concepts learned in this topic, you should _________ receiving $1,000 in 1 year if given the opportunity to r
    10·1 answer
  • Which of the following is an example of an investing activity?
    9·1 answer
  • The cost object(s) of the activity-based costing method is(are)?
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!