All categories

3 years ago

Data for Hermann Corporation are shown below:

Business

1 answer:

timama [110]3 years ago

8 0

Answer:

1) Yes monthly advertising budget should be increased as it increases the sales by $ 9000 even then there would be profit of $ 4000

2) the net operating income will increase by (38,000-24,000) = $ 14,000

Explanation:

Given

Sales 2000 units for $ 90 = $ 180,000

Variable Expenses = $126,000

Contribution Margin = $ 54,000

Less Fixed Expenses = $ 30,000

Operating Income = $ 24,000

1) Yes monthly advertising budget should be increased as it increases the sales by $ 9000 even then there would be profit of $ 4000

2) the net operating income will increase by (38,000-24,000) = $ 14,000

Sales 2000 units for $ 99 = $ 198,000

Variable Expenses (63 +2= $65) = $130,000

Contribution Margin = $ 68,000

Less Fixed Expenses = $ 30,000

Operating income = $ 38,000

You might be interested in

Late on summer clothing store managers realize they have many more bathing suits in stock than they can normally expect to sell

nata0808 [166]

They would opt to have a sale of bathing suits. They would offer discount from the original price of the bathing suit. In this way, the suits will be bought because its cheaper than before.

The store manager should make sure that the discounted price is still higher than the cost of the bathing suits so that they will still generate profit even at a lower value than initially expected.

6 0

3 years ago

On July 31, 2022, Cullumber Company had a cash balance per books of $6,360.00. The statement from Dakota State Bank on that date

Bogdan [553]

Answer:

Please see explanation below

Explanation:

Cullumber Company

Bank reconciliation statement

Cash balance per bank statement $7,910.80

Add: Deposits in transit $1,316.30

$9,227.1

Less outstanding checks ($1,975.10)

Adjusted cash balance per bank $7,252

Cash balance per books $6,360

Add Electronics funds transfer received $1,635

Totalled $7,995

Less:

Bank service charge $17

NSF check $690

Error in recording check no. 2480

($384 - $348) $36

Total balance to be deducted ($743)

Adjusted cash balance per books $7,252

3 0

3 years ago

saul85 [17]

Answer:

The answer is below.

Explanation:

The z score is a used in statistics to determine by how many standard deviations the raw score is above or below the mean. The z score is given by:

$z=\frac{x-\mu}{\sigma}\\\\where\ x=raw\ score, \mu=mean,\sigma=standard\ deviation\\\\For\ a\ sample\ size(n):\\\\z=\frac{x-\mu}{\sigma/\sqrt{n} }$

a) Given that n = 100, μ = 2000, σ = 18

For x < 1995 millimeters:

$z=\frac{x-\mu}{\sigma/\sqrt{n} }=\frac{1995-2000}{18/\sqrt{100} } =-2.78$

From the normal distribution table, P(x < 1995) = P(z < -2.78) = 0.0027

b) P(z > z*) = 10% = 0.1

P(z < z*) = 1 - 0.1 = 0.9

z* = 1.28

$z*=\frac{x-\mu}{\sigma/\sqrt{n} }\\\\1.28=\frac{x-2000}{18/\sqrt{100} }\\\\x-2000 =-2.304\\\\x=2002.3\ ml\\\\$

From the normal distribution table, P(z < z

6 0

3 years ago

Assume General Electric Company agreed in May 2016 to construct a nuclear generator for NSTAR, a utility company serving the Bos

aalyn [17]

Answer:

2016: $300 million; 40%; $60 million

2017: $450 million; 60%; $90 million

Explanation:

Total costs:

= Costs incurred in 2016 + Costs incurred in 2017

= $240 + $360

= $600

In 2016:

Percent of total excepted costs:

= Costs incurred in 2016 ÷ Total costs

= $240 ÷ $600

= 0.4 or 40%

Revenue recognized:

= Percent of total excepted cost × Contract price

= 0.4 × $750 million

= $300 million

Income = Revenue recognized - Costs incurred in 2016

= $300 million - $240 million

= $60 million

In 2017:

Percent of total excepted costs:

= Costs incurred in 2017 ÷ Total costs

= $360 ÷ $600

= 0.6 or 60%

Revenue recognized:

= Percent of total excepted cost × Contract price

= 0.6 × $750 million

= $450 million

Income = Revenue recognized - Costs incurred in 2017

= $450 million - $360 million

= $90 million

8 0

3 years ago

Suppose the price of hot wings is $10, the price of beer is $1, and the consumer’s income is $50. In addition, suppose the consu

IgorC [24]

Answer:

a. budget constraint intersects the vertical axis at 25 beers.

Explanation:

A budget constraint shows all the combinations that a consumer might purchase of two given products or services. The total consumption can be represented by a consumption possibilities frontier curve:

originally you could purchase 50 beers or 5 hot wings
then as the price of beer increases to $2, you can only buy 25 beers or 5 hot wings

7 0

3 years ago