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zlopas [31]
3 years ago
15

​Tom's Taxidermy has a monthly target operating income of $29,000. Variable expenses are 65​% of sales and monthly fixed expense

s are $10,000. What is​ Tom's operating leverage factor at the target level of operating​ income
Business
1 answer:
HACTEHA [7]3 years ago
5 0

Answer:

Leverage factor will be 1.344

Explanation:

We have given operating income = $29000

And variable expenses is 65 5 of the sales

And fixed expenses = $10000

So contribution margin = $29000+$10000 = $39000

We have to find the leverage factor

Leverage factor is given by

Leverage factor =\frac{contribution\ margin}{operating\ income }=\frac{39000}{29000}=1.344

So leverage factor will be 1.344

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Fogelberg Company purchased equipment for $30,000. Sales tax on the purchase was $1,500. Other costs incurred were freight charg
Y_Kistochka [10]

Answer:

Cost of the equipment  = $32350

Explanation:

given data

purchased equipment =  $30,000

Sales tax = $1,500

freight charges = $400

repairs = $700

installation costs  = $450

solution

we get here Cost of the equipment that is express as

Cost of the equipment  = Purchase cost + Sales tax paid + Freight + Installation cost    .........................1

put here value and we will get

Cost of the equipment  = $30000 + $1500 + $400 + $450

Cost of the equipment  = $32350

4 0
3 years ago
During the Great Depression there were a number of federal programs which brought electricity to people in rural areas of the Mi
Ivan

Answer: option A: More competition for jobs in those areas are witnessed when federal programs provided more electricity in rural areas of the Midwest and South.

Explanation:

In the time of the Great Depression, President Roosevelt has passed the Rural Electrification Act (REA) in 1935 as part of the New Deal execution amendment. Through the beneficial act of supplied quantity of electricity units, the rural areas of the Midwest and South got the fine chance to expand the production of goods and services which covered the expenses of the cost of production.

Agriculture is the primary occupation of those areas, the electricity supply helped them to produce more agricultural products and also it supported Agro-based industries. The installation process are initiated and all farmers got loan advances by the cooperative societies.

6 0
3 years ago
A number of factors influence the sample size for a substantive test of details of an account balance. All other factors being e
umka2103 [35]

Answer: D. Smaller measure of tolerable misstatement.

Explanation:

The sample size simply means the number of participants that are included in a study. They're the group of subjects which are picked and selected from the population and represents the general population for that study.

From the options given, it should be noted that a smaller measure of tolerable misstatement will lead to a larger sample size.

8 0
2 years ago
Drury corporation needs to raise $ 2 comma 300 comma 000. the corporation plans on selling 100 comma 000 shares of $ 23 par valu
ad-work [718]

Net Income before Sale of Shares........................................................$1800000

Additional Income due to sale of shares.............................................$400000

Total Net Income........................................................................................$2200000

Income [email protected]%.........................................................................................($660000)

Net Income After Tax..................................................................................1540000

Total No of Shares.........................................................................................260000

Earning Per Share(Net Income After Tax/No of Shares)......................$5.92

8 0
2 years ago
Associated Breweries is planning to market alcohol-free beer. To finance the venture it proposes to make a rights issue at $10 o
Tomtit [17]

Answer:

Number of new shares:

= 100,000×(1÷2)

= 50,000

Amount of new investment:

= 50,000×$10

= $500,000

Total value of company after issue:

= $500,000+100,000×$40

= $4,500,000

Total number of shares after issue:

= 100,000+50,000

= 150,000

Share price after issue:

= $4,500,000÷150,000

= $30

3 0
3 years ago
Read 2 more answers
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