Tom tends to be ignorant about technological advancements. He was reluctant to own a smartphone even when they were well establi
1 answer:
You might be interested in
Answer:
<u>Using equation method we have,</u>
Sales - variable cost = Fixed Cost
Let number of units be X, at break even then,
$150 X - ($60 + $18) X = ($480,000 + $240,000)
$150 X - $78 X = $720,000
$72 X = $720,000
<u>X = $720,000/$72 = 10,000 units.</u>
<u>Using contribution income statement</u>
Contribution margin per unit approach = Selling price - Variable cost = Contribution = $150 - $60 - $18 = $72 per unit
Total fixed cost = Fixed Manufacturing cost + Fixed Selling & Administrative
= $480,000 + $240,000 = $720,000
<u>Break Even Point = </u>
<u>= </u>
<u></u>
<u>Contribution margin Income Statement:</u>
Sales value = $150 10,000 = $1,500,000
Less: Variable Cost
Manufacturing = $60 10,000 = ($600,000)
Selling Expense = $18 10,000 = ($180,000)
Contribution Margin = $720,000
Less: Fixed Cost
Fixed Manufacturing Cost = ($480,000)
Fixed Selling Expense = ($240,000)
Profit = $0
Answer:
178,750 average shares
Explanation:
The computation of the maximum permitted sale is shown below:
But before that we need to find out the total volume which is
= nov 14 trading volume + nov 7 trading volume + oct 31 trading volume + oct 24 trading volume
= 185,000 shares + 165,000 shares + 175,000 shares + 190,000 shares
= 715,000 shares
Now
maximum permitted sale is
= 715,000 shares ÷ 4
= 178,750 average shares
