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Sedbober [7]
3 years ago
12

Kuzio Corporation produces and sells a single product. Data concerning that product appear below:

Business
1 answer:
lorasvet [3.4K]3 years ago
3 0

Answer:

The overall effect on the company's monthly net operating income of this change is $ 6,900, increase

Explanation:

<u>Company's monthly net operating income </u><u><em>before</em></u><u> the change:</u>

Sales  (5,500× $ 150)                                              825,000

Less Variable Costs(  5,500 × $ 60)                     (330,000)

Contribution                                                            495,000

Fixed Expenses (208,000)                                    (208,000)

Net Operating Income                                            287,000

<u>Company's monthly net operating income</u><u><em> after </em></u><u>the change:</u>

Sales  ((5,500+150)× $ 150)                                    847,500

Less Variable Costs ((5,500+150) × $ 60)            (339,000)

Contribution                                                            508,500

Fixed Expenses (208,000+6,600)                       (214,600)

Net Operating Income                                            293,900

<em><u>Effect</u></em><u> on the company's monthly net operating income:</u>

Net Operating Income - <em>After</em> Change                                          293,900

Net Operating Income - <em>Before</em> Change                                       287,000

Change in Net Operating Income                                                      6,900

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1 year ago
A 6.75 percent coupon bond with 26 years left to maturity can be called in six years. The call premium is one year of coupon pay
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Answer:

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