Answer:
E. 12,500 units
Explanation:
Contribution margin = Sales - Variable cost = $6800000 - $2800000 = 40,00,000
Contribution margin per unit = 4000000/20000 = $200 per unit
Break-even Point = Fixed cost/Contribution margin per unit = $2500000/$200 = 12500 units
Answer:
Accounts Receivable $8,820
To Sales Revenue $8,820
Explanation:
The journal entry to record the sales revenue is shown below:
Accounts receivable A/c Dr $8,820
To Sales revenue A/c $8,820
(Being merchandise sold on credit basis)
For recording this we debited the account receivable as it increased the assets and credited the sales revenue as it also increased the revenue
The computation of sales revenue is shown below:
= Sales revenue - discount
= $9,000 - $9,000 × 2%
= $9,000 - $180
= $8,820
This is the answer but the same is not provided in the given options
Most likely D because sale prices especially on retail will not last forever.
Option C
An increase in the real wage would result in a: movement along the labor demand curve, causing a decrease in the number of workers hired by the firm.
<u>Explanation:</u>
The wage rate is circumscribed by the crossing of supply and demand for labor. The demand curve depends on the marginal product of labor and the cost of the good labor originates.
A variation in the wage or payroll will end in a shift in the amount necessitated of labor. If the wage rate increases, organizations will require to hire fewer employees. The quantity of labor demanded will decline, and there will be a movement skyward on the demand curve.
Answer:
D) It invests heavily in advertising and brand building.
Explanation:
One of the greatest step to take in establishing a strong presence in the market place is putting in great efforts towards innovative advertising and ensuring one's brand is built strong, that way, there is established trust and consumers will stay faithful to your brand.
