Answer:
$7,400
Explanation:
The impact on the company's overall profit is shown below:-
<u>Particulars Amount
</u>
Sales $50,320 (740 × $68)
Less : Variable cost
Direct material $30,340 (740 × $41)
Direct Labor $10,360 (740 × $14)
Variable Manufacturing
overhead
($51,000 ÷ 17,000) $2,220 (740 × $3)
= 3
company's overall profit $7,400
To reach the company's overall profit we simply deduct the Direct material, direct labor and variable manufacturing overhead from sales.
Answer: The profit margin is 22.35 %
Explanation: The formula for profit margin is net profit/ income ÷ net sales.
As such, the profit margin is (131000 ÷ 586000) x 100 = 0.2235 * 100 = 22.35 %
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1 increasing audience
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4 insta due to its growing capacity
