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
docker41 [41]
2 years ago
6

Ramort Company reports the following cost data for its single product. The company regularly sells 20,000 units of its product a

t a price of $60 per unit. If Ramort doubles its production to 40,000 units while sales remain at the current 20,000-unit level, by how much would the company's contribution margin increase or decrease under variable costing?
Business
1 answer:
netineya [11]2 years ago
7 0

Answer:

It will remain at the same level.

Explanation:

the contribution margin will be the same.

Because under variable cost, we only focus on the variable cost to determinate the unit cost. Which doesn't change at unit level.

contribution margin = sales - variable cost.

<u>If we use absorption cost,</u> the <u>cost would decrease</u>, because the fixed cost are distribute over more units. <u>This will increase the income</u>. However this is not the case.

You might be interested in
Kristy visited a car showroom as she wanted to buy a new car. While she was looking at a new range of compact luxury sport sedan
adell [148]

Answer:

Option C.

Explanation:

In terms of making sales, Closing is a term that is used to refer to the moment when a customer decides to make the purchase.

There are numerous closing techniques, and the minor-point close is one of the techniques.

The minor-point close is the technique whereby the salesperson tries to intentionally gain the agreement of the customer or prospect on a minor point, and then uses it to assume that the sale is closed.

This technique is exemplified in the scenario presented above. Edward has concluded that Kristy wants to buy the black car, just because she has agreed that she liked it.

3 0
3 years ago
Sunland’s Shop can make 1000 units of a necessary component with the following costs: Direct Materials $21000 Direct Labor 6000
algol13

Answer:

$9,000

Explanation:

Total variable cost of manufacturing the components are as follows;

Direct materials $21,000

Direct labor 6,000

Variable overhead 3,000

————

Total $30,000

If we purchase the cost is $39,000 and the company is indifferent if they will manufacture or purchase. Therefore;

$39,000 - 30,000 = $9,000 (unavoidable fixed cost)

7 0
3 years ago
John Grey owns Grey's Snow Plowing. In October, he collects $12,000 cash for 6 commercial accounts for which he will provide sno
mote1985 [20]

Answer:

The correct answer is Debit Unearned Plowing Revenue

Explanation:

Earlier the journal entry would be recorded as:

Cash A/c.................................................Dr    $4,000

    Unearned Plowing Revenue A/c..............Cr   $4,000

But the correct entry that should be recorded is:

Cash A/c.................................................Dr    $4,000

    Plowing Revenue Earned A/c..............Cr   $4,000

So, in order to pass the adjusting entry, we should debit the Unearned Plowing Revenue in order to reconcile or nill the same account by debiting.

4 0
3 years ago
Beatrice Markets is expecting a period of intense growth and has decided to retain more of its earnings to help finance that gro
VLD [36.1K]

Answer: $16.69

Explanation:

Using the Dividend growth model, the value is:

= [Dividend 1/ (1 + required return)] + [Dividend 2/ (1 + required return)²] + [Terminal value / (1 + required return)²]

Terminal value = Dividend after 2 years / (required return - growth)

= 2.50/ (14.5% + 0%)

= $17.24

Dividend 1 = 3.60 * ( 1 -30%)                                Dividend 2 = 2.52 * ( 1 -30%)

= $2.52                                                                                     = $1.76

Market value = (2.52 / 1.145) + (1.76 / 1.145²) + (17.24/1.145²)

= $16.69

3 0
3 years ago
From the consumer’s perspective, the elements of an imc strategy can be viewed as being either.
Furkat [3]

From the consumer’s perspective, the elements of an IMC strategy can be viewed as being either "Passive or Interactive."

<h3>What is IMC strategy?</h3>

The integrated marketing communications (IMC) plan transforms your marketing department from a collection of independent operations into one cohesive strategy.

IMC combines your numerous marketing materials and channels, including digital, social media, PR, and direct mail, into one trustworthy message.

The integrated marketing strategy includes-

  • IMC evaluation of a brand and also its main rivals.
  • IMC Report Card
  • Identifying a brand's, an organization's, or a person's main communications outlets.
  • Core strategy statement identification and adaptive messaging
  • Timeline for the project, including deliverables and particular strategies
  • reporting and measurement

Each integrated marketing communication approach should include three components:

  1. the target customer,
  2. the channels used to deliver the message, and
  3. an assessment of the communication's effectiveness.

To know more about integrated marketing communication strategy, here

brainly.com/question/7278281

#SPJ4

6 0
2 years ago
Other questions:
  • What are the key factor(s) for success in this industry/market
    6·1 answer
  • Populations of organisms that live in and interact in a particular are form ?
    10·1 answer
  • What is 25 x 5? please help i cant do?
    7·1 answer
  • Entitlement culture is the idea that __________________________. a. basic salaries are extra pay for sales performance rather th
    11·1 answer
  • The combination of one or more communication tools used to inform prospective buyers about the benefits of the product, persuade
    8·1 answer
  • Which leadership style best describes this Spider-Man? Why?
    5·1 answer
  • Cynthia, a sole proprietor, was engaged in a service business and reported her income on the cash basis. On February 1, 2013, sh
    6·1 answer
  • Si hacemos una compra en cuenta corriente ¿ obtenemos un "descuento" en el precio de un objeto o un recargo en el mismo ?
    11·1 answer
  • Akers Company sold bonds on July 1, 20X1, with a face value of $100,000. These bonds are due in 10 years. The stated annual inte
    6·1 answer
  • The following information applies to the questions displayed below.]
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!