Answer:
B. a decrease of $30,000
Explanation:
The computation of company’s overall profit is shown below:-
To continue = Contribution margin - Fixed cost
= $65,000 - $70,000
Loss = $5,000
To Discontinue = Unavoidable fixed cost ÷ 2
= $70,000 ÷ 2
= $35,000
So, Net Loss = To continue (Loss) - To Discontinue
= $5,000 - $35,000
= $30,000
Therefore there is a decrease of $30,000
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Profit = $40,000
Given,
Total sales are $500,000
Total fixed costs are $300,000
Contribution margin ratio is 68%
Solution:
Profit = Total Sales × Contribution margin ratio − Total Fixed costs
= $500,000 × 68% − $300,00
=$340,000 −$300,000
Profit =$40,000
Profit:
Profit; also known as net income is the financial gain acquired when the amount of revenue generated by a company exceeds costs and expenses. Profit is the bottom line of a company′s income statement that shows the financial performance during the period.
Learn more about contribution margin :
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The best and most correct answer among the choices provided by your question is the third choice or letter C.
The law of increasing costs means that as production shifts from one item to another, more and more resources are necessary to increase production of the second item.<span> </span>
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Answer:
Explanation:
1. Determine the company's
(a) bank balance on November 30
(b) book balance on November 30 before the bank reconciliation.
(a)Bank Balance is $16,028 at 30th November.
(b)Book Balance is $16,127 at 30th November.
2.What is the amount of cash interest received in the month of November? November cash interest is $37
3. Which of the bank fees is the largest of those charged to the company in November? Check Printing Fees of $35
