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
dalvyx [7]
3 years ago
10

Sannella Corporation produces and sells a single product. Data concerning that product appear below: Per Unit Percent of Sales S

elling price $ 220 100 % Variable expenses 66 30 % Contribution margin $ 154 70 % Fixed expenses are $991,000 per month. The company is currently selling 8,000 units per month. The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $11 per unit. In exchange, the sales staff would accept a decrease in their salaries of $74,000 per month. (This is the company's savings for the entire sales staff.) The marketing manager predicts that introducing this sales incentive would increase monthly sales by 200 units. What should be the overall effect on the company's monthly net operating income of this change? Multiple Choice increase of $1,246,600 increase of $71,800 increase of $14,600 decrease of $133,400

Business
2 answers:
miskamm [114]3 years ago
4 0

Answer:

Yes, The primary objective of financial reporting is to provide useful financial information regarding investment and credit decisions to the providers of capital, The objectives of tax accounting are to raise revenues, achieve economic objectives through fiscal policy and achieve social objectives.

Answer :

2- The increase of 14,600

Explanation

[Find the attachment]

My name is Ann [436]3 years ago
3 0

Answer:

Increase in net Operating income = $14,600

Explanation:

Sales

i. 8000 units X $220

=$1,760,000

ii. 8200 units X $220

=$1,804,000

Variables expenses

i. 8000 units X $66 = $528,000

ii8200 units X $72 = $631,400

Contribution margin

CM=Sales -Variables expenses

i. 1,760,000 - 528,000=

$1,232,000

ii. 1,804,000 - 631,400

=$1,172,000

Our Fixed expenses are

i. $991,000

ii. $917,000

Therefore Net operating income = Contribution margin - Fixed expenses

i. 1,232,000 - 991,000

=$241,000

ii. 1,172,600 - 917,000

=$255,600

From the answers above, there is an increase of $14,600 as a difference between $241,000 and $255,600 which are the Net Operating income.

You might be interested in
Wave Fashions uses standard costs for its manufacturing division. The allocation base for overhead costs is direct labor hours.
horsena [70]

Answer:

B. $ 3,650 U

Explanation:

Wave Fashions

Actual fixed overhead $ 32,000

Budgeted fixed overhead $ 26,000

Allocated fixed overhead $ 28,350

Standard overhead allocation rate $ 6.75

Standard direct labor hours per unit 2.1 DLHr

Actual output 2,000 units

Total Fixed Overhead Variance =  Budget Variance + Volume Variance

                                                 =$ 6000 Unfav - $ 2350 Fav= $ 3650 Unfavorable

Budget Variance = Actual Fixed Overhead- Budgeted Fixed Overhead= $ 32,000- $ 26,000= $ 6000 unfavorable

Volume Variance = Budgeted Fixed Overhead- Allocated Fixed Overhead

Volume Variance= $ 26000-  ( Standard Fixed Overhead Rate * Standard Hours)

Volume Variance= $ 26000-  ( $ 6.75 * 2.1 * 2000)

Volume Variance= $ 26000- 28350 = 2350 favorable

6 0
3 years ago
On October 17, Nickle Company purchased a building and a plot of land for $589,200. The building was valued at $312,276 while th
Travka [436]

Answer:

Explanation:

The journal entry is shown below:

Building A/c Dr $312,276

Land A/c Dr       $276,924

        To Cash A/c             $61,900

        To Notes payable A/c $527,300

(Being the purchase of building and land for cash and note payable is recorded)

The computation of the notes payable is shown below:

= Total purchase value - cash paid

= $589,200 - $61,900

= $527,300

3 0
3 years ago
What reason does Macbeth give for killing King Duncan's guards?
Ber [7]

Answer:

Macbeth claimed that he had found the guards covered in the blood of King Duncan.

Explanation:

He further used this to explain how the sight drove him to a point of extreme grief and being so distraught he was overcome with the need to avenge the murder of his King. Using this false story, Macbeth was successful in diverting any suspicion from him without the need of potential suspects -meaning there would be no one to argue or prove their innocence if whoever was blamed for it was no longer living.

<h3>Hope this helps!</h3>
5 0
3 years ago
You were asked to read U.S. Statistics in 1912 and in your writing journal, you reflected upon how different your life would be
Zolol [24]

Explanation:

Hi, you've asked an incomplete question. However, based on inference, after consult relevant academic material, the learning objective on this particular assignment is stated below;

<em>"To think about things like your education, career goals, romantic relationships, how you get around, and your physical health, write at least one paragraph explaining how such aspects of your life would have changed had you lived in the early 1900s."</em>

4 0
3 years ago
MyPillow uses television advertising and wanted to see whether the TV ads reached more viewers during the daytime spots or the p
Anit [1.1K]

Answer:

c

Explanation:

If MyPillow wants to get real time update, it means it wants to get update as people are watching tv. In order to reach its audience, it would be right to reach them on the medium they use while watching tv. If most people do not use their desktop computers while watching TV , it would not be appropriate to use desktop computers.

But if people watch tv and use their phone, the appropriate means of carrying this research is through mobile.

5 0
2 years ago
Other questions:
  • (Forecast accuracy across horizons) You are a consultant to MedTrax, a large pharmaceutical company, which released a new ulcer
    12·1 answer
  • According to communist theory, the value of a commodity is determined by the
    11·1 answer
  • Foreign stock markets are frequently characterized by controlling shareholders for the individual publicly traded firms. Which o
    12·1 answer
  • Based on the chart above the opportunity cost of moving from point B to point C is approximately
    13·1 answer
  • Media business became big in the 1830s, partially due to the development of ______, which allowed for mass production of newspap
    7·2 answers
  • What happens in the labor market when the following event occurs?
    10·1 answer
  • Suppose that an Exxon Mobil bond has a return of ​% half the time and ​% the other half. The expected return on this bond is   
    12·1 answer
  • What is the major limitation of using the payback period as a tool in capital budgeting?
    6·2 answers
  • chris and his best friend jason have just opened a specialty beer bar in phoenix, arizona. they know the bottom-line profit they
    11·1 answer
  • Individuals who score high in ____ tend to take their jobs seriously and act responsibly at work.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!