Answer:
Product Selling price Unit variable cost
$ $
Trunk switch 60 28
Gas door switch 75 33
Glove box light <u>40</u> <u> 22</u>
<u> 175 </u> <u> 83</u>
Composite contribution margin
= Composite selling price - Composite unit variable cost
= $175 - $83
= $92
Composite contribution margin ratio
= <u>Composite contribution margin</u>
Composite selling price
= <u>$92</u>
$175
= 0.525714285
Composite break-even point in dollars
= <u>Fixed cost</u>
Composite contribution margin ratio
=<u> $18,840</u>
0.525714285
= $35,837
Explanation:
In this case, there is need to add all the selling prices to obtain composite selling price. We also need to add all the unit variable costs to derive composite unit variable cost.
Composite contribution equals composite selling price minus composite unit variable cost.
Composite contribution margin ratio is the ratio of composite contribution to composite selling price.
Composite break-even point in dollars equal fixed cost divided by composite contribution margin ratio.
Answer: Pastoral society
Explanation:
A pastoral society is a social community made up largely of nomads whose major activities are centered around animal breeding and herding.
The major product for sale in a pastoral society is livestock, such as: cattles, goats, sheep, horses, camel etc.
Answer:
b. $20,000: $250,000
Explanation:
The computation is shown below:
The passive activity rules at the opening of 2021 would be equivalent to the amount given i.e. $250,000
And, the suspended amount would be
= $100,000 + $80,000 + $90,000 - $250,000
= $270,000 - $250,000
= $20,000
Hence, the correct option is b.
Answer:
Income statement using absorption costing.
Sales $756,000
Less Cost of Goods Sold
Opening Stock $0
Total Manufacturing Costs $655,000
Less Closing Stock ($104,800) ($550,200)
Gross Profit $205,800
Less Operating Expenses
Selling and administrative expenses:
Variable $35,000
Fixed $10,500 ($45,500)
Net Income $160,300
Explanation:
The Product cost is the to total of all manufacturing costs.