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My name is Ann [436]
3 years ago
14

For a multi-product company with a limited resource, company-wide net income will be maximized if A : fixed costs equal the doll

ar amount of sales. B : production capacity is prioritized to the product with the highest contribution margin per unit of limited resource. C : total costs equals sales revenue. D : production capacity is prioritized to the product with the highest unit contribution margin.
Business
1 answer:
sesenic [268]3 years ago
6 0

Answer:

D : production capacity is prioritized to the product with the highest unit contribution margin.

Explanation:

The poduct with the highest unit contribution margin is key to calculate the Gross Profit Margin .

"Gross profit margin analyzes the relationship between gross sales revenue and the direct costs of sales. This comparison forms the first section of the income statement. Companies will have varying types of direct costs depending on their business. Companies that are involved in the production and manufacturing of goods will use the cost of goods sold measure while service companies may have a more generalized notation.

Overall, the gross profit margin seeks to identify how efficiently a company is producing its product. The calculation for gross profit margin is gross profit divided by total revenue. In general, it is better to have a higher gross profit margin number as it represents the total gross profit per dollar of revenue. "

Reference: Beers, Brian. “Gross, Operating, and Net Profit Margin: What's the Difference?” Investopedia, Investopedia, 14 Sept. 2019

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Given the following information, analyze XYZ Company's liquidity. Year 2013 Total quick assets $30,000 Total current assets $40,
kogti [31]

Answer:

  • A. They are more liquid than others in their industry.
  • C. They have sufficient quick assets to pay off short-term debt if needed.

Explanation:

The Acid-test and current ratios are used to measure the liquidity of a company with higher figures meaning more liquidity. XYZ Company has a both a higher acid-test and current ratio so they are more liquid than others in their industry.

The Acid-test and current ratio also enable one to find out if a company is able to pay off its current obligations/ liabilities using current assets. With the acid-test ratio being above one, XYZ is able to pay off short-term debt using quick assets.

6 0
2 years ago
The December 31, 2015, balance sheet of Maria’s Tennis Shop, Inc., showed current assets of $1,105 and current liabilities of $9
IrinaK [193]

Answer:

$165

Explanation:

The working capital of organization is the difference between the current assets and the current liabilities of the organization. It shows if a company has enough short term assets or asset that can be converted quickly to cash to settle obligations that will arise in the short term.

Working capital as at December 31, 2015

=$1,105 - $915

=$190

Working capital as at December 31, 2016

=$1,320 - $955

=$365

Change in working capital in 2016

= $365 - $190

= $165

5 0
3 years ago
How can a sales user relate an opportunity to a campaign?
jekas [21]

Answer:

Using the campaign influence related list on the opportunity.

Explanation:

By using the campaign influence related list on the opportunity a sales user can relate an opportunity to the campaign. With the help of campaign influence, the person will be allowed to other person campaigns listed on an opportunity. A person must hire a person for a role in the opportunity. A hired person will be an expert in doing so therefore the productivity will also be rise by hiring the expert.

4 0
2 years ago
Humphries Construction Company builds warehouses that range in size from 12,000 to 100,000 square feet. Which of the following w
elixir [45]

Answer:

The Number of warehouses completed would not be a rational base for allocating overhead costs to the warehouses.

Explanation:

For allocating the overhead cost to the warehouse. Following things need to be considered.

1. Square footage of the warehouses : Based on the square foot of the warehouse, the overhead cost can be easily allocated. As different warehouses have different square foot. So there would be different allocation criteria for each warehouse.

2. Labor Hours : According to the labor hours, the overhead expense can be allocated. In warehouse, the size of labor is matter. As more labors are available, the chances of more allocation expenses would be there and if there is less labors so the allocation expenses would be less.  

Depending upon the size of the labors, the allocation of overhead differs.

3. Direct material cost : The warehouse is required when more supplies of material is to be required. So here, direct material plays an very important role while allocating the overhead cost. Depending upon the quantity of  material, the overhead expenses differs.

4. Number of warehouses completed : As without knowing the size and capacity of the warehouses, it is difficult to allocate the overhead expense. Moreover, the same cost is been allocated which is not acceptable.

Hence, the Number of warehouses completed would not be a rational base for allocating overhead costs to the warehouses.

7 0
3 years ago
What are the objectives of a social enterprise?
Alexxx [7]
A social enterprise is a business that aims to achieve a particular public or community mission (social, environmental, cultural or economic), and reinvests the majority of its profits into achieving that mission.
8 0
3 years ago
Read 2 more answers
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