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vichka [17]
3 years ago
9

McLeod, Inc. incurred fixed costs of $300,000 and variable costs of $200,000 for total costs of $500,000 when 59,000 units are p

roduced. It sold 35,000 units during the year. Calculate the variable cost per unit. (Round your answer to the nearest cent.)
Business
1 answer:
Ad libitum [116K]3 years ago
3 0

Answer:

$3.389

Explanation:

Data provided as per the question below

Fixed cost = $300,000

Variable cost = $200,000

Total cost = $500,000

Units produced = 59,000

The computation of variable cost per unit is shown below:-

Variable cost per unit = Variable cost ÷ Units produced

= $200,000 ÷ 59,000

= $3.389

Therefore we applied the above formula.

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It is called networking.

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1 year ago
Munoz Sporting Goods Corporation makes two types of racquets, tennis and badminton. The company uses the same facility to make b
maks197457 [2]

Answer:

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Explanation:

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3 years ago
Akika Corporation started as a small firm and has grown substantially in the past decade. Its interests span from electronics to
lakkis [162]

Answer:

a. Unity of direction

Explanation:

Unity of direction: In this principle, the direction of work is given by the higher authority with a view to achieving the organizational objective.  

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3 years ago
Firms that take voluntary actions to address the ethical, social, and environmental impacts of its business operations are invol
vampirchik [111]
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8 0
2 years ago
Mikey W. Smitty, an emerging rapper, is getting ready to cut his first CD, called "Western Rap." He is looking for a production
Gekata [30.6K]

Answer:

(i) 900 CDs

(ii) Greater than; $1,650

Explanation:

(1) Break-event point will be when the contribution margin from total sales is equal to fixed costs,

Contribution Margin = Selling price - variable cost

                                  = $(21.5 - 9.5)

                                  = $12

Contribution Margin *Number of CDs sold = $10,800

Break-even point for Studio A = 10,800 ÷ 12

                                                    = 900 CDs

(2) Studio A would be more profitable when the extra profit earned from per unit sale of CD exceeds the extra fixed cost given in Studio A.

Extra Contribution margin in Studio A = $(12-10)

                                                               = $2

Extra Fixed cost in Studio A = $(10,800 - 7,500)

                                               = $3,300

Studio A should be chosen if sales is greater than (3300/2) = $1,650.

4 0
2 years ago
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