1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Jlenok [28]
3 years ago
9

Speicher sells sports shoes and formal shoes. Sports shoes sell for $110 each and cost $50 in variable expenses to make. Formal

shoes sell for $220 and cost $100 in variable expenses to make. Speicher’s fixed expenses are $50,000. If 35% of his revenues are from sports shoes, what is Speicher’s weighted average contribution margin ratio? Provide your answer in decimal form (i.e. 65.2% = 0.652) and to three decimal places. Do not round intermediary calculations.
Business
1 answer:
valentina_108 [34]3 years ago
5 0

Answer:

weighted contribution margin ratio = 0.545

Explanation:

contribution margin of sport shoes = $110 - $50 = $60

contribution margin ratio of sport shoes = $60 / $110 = 0.545454

contribution margin of formal shoes = $220 - $100 = $120

contribution margin ratio of sport shoes = $120 / $220 = 0.545454

35% of total revenues come from sport shoes

weighted contribution margin ratio (it is the same for both products) = 0.545454 = 0.545

You might be interested in
Before any serious discussion of purchasing a business occurs a _ should be conducted
Lesechka [4]
Blood group b shold constrentect
3 0
3 years ago
Which sentences describe characteristics of a partnership?
Dominik [7]
D sounds like the best answer
3 0
4 years ago
Read 2 more answers
the average cost for interplanetary space to fly a 100-seat spaceship between mars and amsterdam is $100 million. the $100 milli
rjkz [21]

Based on the fact that the average cost of  interplanetary space to fly a 100-seat spaceship between Mars and Amsterdam is $100 million, then the $100 million is not marginal.

<h3>Which cost is marginal?</h3>

Marginal cost refers to the additional cost that we incur for wanting an additional unit of a product or service. This means that it is not an average score because it is concerned with one additional unit while the average is based on all units.

The $100 million for going into space between Mars and Amsterdam is an average cost. It is therefore not a marginal cost and cannot be grouped as one.

The first part of the question is:

Identify whether the scenario is an example of a marginal cost, marginal benefit, or neither.

Find out more on marginal cost at brainly.com/question/17230008

#SPJ1

7 0
2 years ago
Explain the differences in operating incomes obtained in requirements 1 and 2. The difference in operating income under absorpti
erik [133]

Answer:

Differences in Operating Incomes Under Absorption Costing and Variable Costing:

The 2020 operating income under absorption costing is greater than the operating income under variable costing because

the ending inventory has carried over some fixed manufacturing costs, making the cost of goods sold less than under variable costing.

Explanation:

The differences in the operating incomes obtained under variable costing and absorption costing are due to the fixed manufacturing costs that are included in the ending inventory ​and carried forward to the next accounting period while the ending inventory under variable costing does not include any fixed manufacturing costs.  Absorption costing is based on full costing system but, variable costing  does not include the full costs.

6 0
3 years ago
The Lodge borrowed $2,000,000 for five years at an annual interest rate of 9% from the Merchant Bank, which required a $100,000
AleksandrR [38]

Answer:

option (b) 9.5%

Explanation:

Data provided in the question:

Loan Amount = $2,000,000

Annual interest rate = 9%

Required compensating balance = $100,000

Now,

Effective interest rate(EIR)

= (loan × Annual interest on loan) ÷ (Loan - Required compensating balance)

= ($2,000,000 × 9% ) ÷ ( $2,000,000 - $100,000 )

= ($2,000,000 × 0.09 ) ÷ ( $1,900,000 )

= 0.0947 ≈ 0.095

or

= 0.095 × 100%

= 9.5%

Hence,

the answer is option (b) 9.5%

4 0
3 years ago
Other questions:
  • The downtown market sells napkins at $2.29 for 300 and cups at $1.75 per 50. at super save, the same napkins cost $1.49 for 200,
    5·1 answer
  • Mario and Johnny want to start a business. They have very little capital. They are new partners and largely unfamiliar with each
    12·1 answer
  • What is customer perception and why is it important?
    6·1 answer
  • Which of the following might vary in on online purchase depending on where the purchaser lives?
    14·2 answers
  • Why is mobile banking considered riskier than online banking?
    14·2 answers
  • If a credit memorandum is issued, which account will be increased on the seller’s books?
    11·2 answers
  • Decisions regarding investment are made by​ __________, whereas decisions regarding saving are made by​ __________.
    10·1 answer
  • Kenai Company sold $600 of merchandise to a customer who used a National Bank credit card. National Bank deducts a 3% service ch
    14·1 answer
  • What are the three vital functions that money​ performs? Which of the following items perform some but not all of these​ functio
    14·1 answer
  • Whether speech is going to be delivered before one or one hundred people, the speaker should:
    7·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!