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Marrrta [24]
4 years ago
13

Spice Inc.'s unit selling price is $60, the unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000

units. How much will operating income change if sales increase by 8,000 units?a. $175,000 increaseb. $200,000 increasec. $150,000 increased. $150,000 decrease
Business
1 answer:
miv72 [106K]4 years ago
6 0

Answer:

Increase by $200,000

Explanation:

Giving the following information:

Spice Inc.'s unit selling price is $60, the unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000 units. How much will operating income change if sales increase by 8,000 units?

Effect on income= (60 - 35)*8,000= $200,000

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Answer:

55 legal pads.

Explanation:

The level at which Blackmon Brothers should order more legal pads is the re-order point.

The calculate re-order point, we require

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For Black man

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4 0
3 years ago
A service was performed for a client with payment due in 30 days what accounts are affected
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Answer:

b) debit accounts receivable, credit capital

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Once a service has been performed, revenue increases. Revenue is an equity account (it increases the owner's equity). An increase to an equity account is recorded by crediting the account.

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Explanation:

Please find attached word file with the calculations.

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Answer:

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