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vesna_86 [32]
3 years ago
6

Campbell Transport Company divides its operations into four divisions. A recent income statement for its West Division follows.

CAMPBELL TRANSPORT COMPANY West Division Income Statement for Year 3 Revenue $ 540,000 Salaries for drivers (390,000 ) Fuel expenses (54,000 ) Insurance (74,000 ) Division-level facility-sustaining costs (44,000 ) Companywide facility-sustaining costs (134,000 ) Net loss $ (156,000 ) Required By how much would companywide income increase or decrease if West Division is eliminated? Should West Division be eliminated? Assume that West Division is able to increase its revenue to $600,000 by raising its prices. Determine the amount of the increase or decrease that would occur in companywide net income if the segment were eliminated. Should West Division be eliminated if revenue were $600,000? What is the minimum amount of revenue required to justify continuing the operation of West Division?
Business
1 answer:
Leona [35]3 years ago
8 0

Answer:

Explanation:

1) Revenue  $540,000

less: Salaries for drivers  (390,000)

Fuel expense  (54,000)

insurance  (74,000)

Division line  (44,000)

Net loss  (22,000)

If division is eliminated the income would increase by $22,000

So it should be eliminated.

2) Decrease in income = $600,000 - ($540,000+$22,000)

= $38,000

3) What is the minimum amount of revenue required = 600,000 - 38,000 = $562,000

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During 2022, Crane Company entered into the following transactions.
Anastasy [175]

Answer:

Assets = Liabilities + Stockholders' Equity = $206,670

Explanation:

Note: See the attached excel file for the analysis of the tabular analysis of the effect of each transaction on the accounting equation.

From the attached excel file, we have:

Assets = = – $172,670 + 68,620 + $310,720 = $206,670

Liabilities = $68,620

Stockholders' Equity =  $138,050

Liabilities + Stockholders' Equity = $68,620 + $138,050 = $206,670

Therefore, we have:

Assets = Liabilities + Stockholders' Equity = $206,670

Download xlsx
4 0
3 years ago
Which of the following statements is true? A) To be more conservative in planning for an individual's retirement, decrease the i
SVETLANKA909090 [29]

Answer:

A) To be more conservative in planning for an individual's retirement, decrease the individuals life expectancy.==>TRUE

B) A sensitivity analysis helps the advisor determine the single most effective factor in a retirement plan. ==> FALSE

C) A Monte Carlo Analysis uses a random number generator to provide the advisor with an array of possible outcomes utilizing the same fact patter. ==>TRUE

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8 0
4 years ago
Describe some strategic differences between these firms. What type of trade-off decisions have these firms made
Yuri [45]

Please find full question attached

Answer and Explanation:

I will use Apple and HP in this comparison.Here I would compare Apple's laptop to that of Hewlet Packard as this is where they meet in the industry. Apple employs a strategy of differentiation and standing out in competition through their products. They aim to create products that are quite different and unique/innovative from other products in the market, and yet what the customer wants. In doing this, Apple has a trade-off for cost as they charge alot higher for their products than their competitors. HP on the other hand focus on making the best possible products that get the job done/meet the needs of customers while also being affordable. HP is more focused on affordable devices for their market and therefore have a different market segment for laptops from that of Apple. There is a trade-off for cost and market segment in this comparison

4 0
3 years ago
Ozdemir Corporation uses the FIFO method in its process costing system. Data concerning the first processing department for the
Paul [167]

Answer:

$5,490

Explanation:

Computation for the equivalent units for conversion costs

To complete beginning work in process inventory 360

[400*(1-10%)]

Units started and completed 4,500 (4,900-400)

Ending work in process inventory 630 (900*70%)

Equivalent units for Conversion costs $5,490 units

Therefore the equivalent units for conversion costs is $5,490

4 0
3 years ago
What does 1/4 of a can of coffee cost if 4 cans of coffee costs $2.40?
harkovskaia [24]
In this item, we calculate first for the price of each can of coffee by dividing the cost by the number of cans of coffee.

        Price per can = cost / total number of cans of coffee
        price per can = ($2.40) / 4 = $0.6/can

To compute for the price of the 1/4 can, multiply the price by can by 1/4.
       price of 1/4  can of coffee = (1/4 can)($0.6/can)
       price of 1/4 can of coffee= $0.15

Therefore, the 1/4 can of coffee will cost only $0.15.
3 0
3 years ago
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