Answer:
5,409 books
Explanation:
to calculate break even point in units we can use the following formula:
break even point in units = total fixed costs / contribution margin per unit
- total fixed costs = $53,000
- contribution margin per unit = sales price - variable costs = $12 - $2.20 = $9.80
break even point in units = $53,000 / $9,80 = 5,408.16 ≈ 5,409 books
in $, that would equal = 5,409 books x $12 per book = $64,908
Answer:
B
Explanation:
I would assume the correct answer would be B. This is because when you go to a store you typically assume the higher cost item is of higher quality then the lower cost item. For example: One may buy a yeti cooler over an igloo cooler because the very high price tag makes them feel as if the cooler is just that much better then the competitor. If correct please mark brainliest.
Answer:
A) Increase $137,500
Explanation:
Calculation for how will operating income be affected
CHANGE IN OPERATING INCOME
Sales Revenue (Additional) $850,000
(250 %* 340,000)
Less Variable expenses (Additional) ($587,500)
(250 % *$ 235,000)
Contribution Margin $ 262,500
($850,000-$587,500)
Less Fixed Expenses ($76,000)
($262,500-$76,000)
Operating Income $ 186,500
( $ 262,500-$76,000)
Less Previous Operating Income ($49,000)
Operating Income $137,500 Increase
($ 186,500-$49,000)
Therefore the operating income will increase by $137,500
Answer:
1. Factory supervisory salaries <u><em>Production Cost</em></u> Factory Overhead
2. Sales commissions Period Cost Selling expense
3. Income tax expense Period Cost tax expense
4. Indirect materials used <u><em>Production Cost</em></u> Factory Overhead
5. Indirect labor <u><em>Production Cost </em></u>Factory Overhead
6. Office salaries expense Period Cost Administrative expense
7. Property taxes on factory building <em><u>Production Cost</u></em><em> </em>Factory Overhead
8. Sales manager's salary Period Cost Selling expense
9. Factory wages expense <em><u>Production Cost </u></em>Direct Labor
10. Direct materials used <em><u>Production Cost</u></em> Direct Materials
Explanation:
A period cost is any cost that cannot be capitalized into prepaid expenses, inventory, or fixed assets
Period cost goes straight to expense account
While
Production Cost do capitalizes through Inventory and later recognize as cost of goods sold.
Answer:
b.$7,172.16 favorable
Explanation:
std rate $ 13.13
actual rate $ 12.20
actual hours 7,712
difference between actual and standart rate $0.93
As it is positive the variance is favorable as we spend less per hour than standard.
Now, we multiply by the actual hours to get the rate variance:
7,712 hours x $0.93 = $7,172.16
