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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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3 0
3 years ago
Social Security benefits are increased each year in proportion to the increase in the CPI, even though most economists believe t
erik [133]

Answer:

False The statement does not correlate

5 0
3 years ago
Usa jobs is an example of what​
Dennis_Churaev [7]

Answer: A way to earn money.

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6 0
3 years ago
On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $85,050 in assets in exchange for i
hoa [83]

Answer:

$3,260

Explanation:

Preparation of December statement of cash flows for Ernst Consulting

ERNST CONSULTING Income Statement

For Month Ended October 31

REVENUES

Consulting fees earned $17,450

Total revenues $17,450

EXPENSES

Rent expense $4,530

Salaries expense $8,090

Telephone expense $880

Miscellaneous expenses $690

Total expenses $14,190

Net income $3,260

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Therefore December statement of cash flows for Ernst Consulting will be $3,260

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3 years ago
You can purchase an item you need for a project for $10,000 and it has daily operating costs of $500, or you can lease the item
aleksandr82 [10.1K]

Answer:

On the 50th day, the purchase cost will be equal to the lease cost

Explanation:

Given that:

  • Daily operating costs of $500
  • Purchasing cost for the item:  $10,000
  • Lease amount: $700

Let x is the number of days the purchase cost be the same as the lease cost. As we now that:

The total cost should be equal to the total lease received

<=> 10,000 + 500x = 700x

<=> 200x = 10000

<=> x = 50

Hence, on the 50th day, the purchase cost will be equal to the lease cost

3 0
3 years ago
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