It is to be noted that the demand for sandwiches and ice cream cones consumed after the price of ice cream cones rises to $2 a piece will both reduce (all things being equal).
<h3>Why would the demand for both items reduce?</h3>
The demand for both goods will both come down because they are complementary or joint demand goods.
A pair of goods are termed "joint demand" when both must or usually is consumed with the other.
Recall that (where all things are equal) demand will decrease as price increases.
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Answer:
Prime costs= $212,500
Explanation:
Prime costs are the direct materials used and direct labor.
Prime costs= direct material + direct labor
Giving the following information:
Direct material:
Fabric used to upholster furniture10,500
Freightminus−in 3,800
Lumber used to build product 82,500
Total direct materials= $96800
Direct labor:
Wages paid to assembly−line workers 115,700
Prime costs= 96800 + 115700= $212,500
Answer:
A
Explanation: Because you have to know your starting point?
Answer:
No, they don´t.
Explanation:
Forecast is not required by GAAP, as the <u>Relevance</u> and the <u>Faithful</u> <u>Representation</u> are concepts that are not compatible with data projection. Forecast implies estimates, and subjective interpretations that do not fulfill financial statements aim and are difficult to verify.
a. The determination of the unit contribution margin is $36 per unit ($79 - $43).
b. The determination of the units to be sold for the company to break-even in units is (Fixed costs/contribution margin per unit)
= 11,389 units ($410,000/$36).
c. The determination of units to sell to earn an operating income of $234,000 is (Fixed costs + Operating income)/Contribution margin per unit
= 17,889 units ($410,000 + $234,000)/$36.
Data and Calculations:
Sales price per unit = $79
Variable cost per unit = $43
Contribution margin per unit = $36 ($79 - $43)
Fixed manufacturing and operating costs per month = $410,000
Learn more about using contribution margin per unit to determine break-even point here: brainly.com/question/21137380 and brainly.com/question/15684424