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Rashid [163]
3 years ago
11

The business arrangement in the newspaper industry in which two separately owned papers in the same city are permitted to combin

e their business and production operations is called a/an ______
Business
1 answer:
musickatia [10]3 years ago
8 0

Answer: Joint operating agreement

Explanation:

 The joint operating agreement is one of the concept that helps in protecting the business or the industry from the failure that helps in governing the partnership between any two organization.

In this type of agreement any two organization are basically contributing their power and the resources for producing the effective result.

According to the given question, the newspaper industry is one of the example of joint operating agreement in which two companies are permitted for combining their business. Therefore, Joint operating agreement is the correct answer.

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Gracie, inc. made a prepaid rent payment of $2,800 on january 1. the company's monthly rent is $700. the amount of prepaid rent
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The ultimate goal of JIT is to have:__________.
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The correct answer is (A)

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3 years ago
Morris' company decided in the beginning of 2017 that they need to make $6,000,000 worth of improvements starting january 1, 202
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7 0
3 years ago
Break-Even Sales Under Present and Proposed Conditions
solong [7]

Answer:

<h3>Portmann Company</h3>

1. Total variable costs = $89,000,000

Total fixed costs = $40,600,000

2. a Unit variable cost = $89

b. Unit contribution margin = $100

3. Break-even sales (units) = Fixed cost/Contribution margin per unit

= $40,600,000/$100

= 406,000 units

4. Break-even sales (units) = Fixed cost/Contribution margin per unit

= $45,100,000/$100

= 451,000 units

5. Break-even sales (units) to achieve target profit = (Fixed cost + Target Profit)/Contribution margin per unit

= ($45,100,000 + $59,400,000)/$100

= 1,045,000 units

6. Maximum operating income possible with the expanded plant is:

= $61,900,000

7. Operating income if the proposal is accepted and sales remain at the current level is:

= $54,900,000

Explanation:

a) Data and Calculations:

Sales volume during current year = 1,000,000

Sales price per unit during current year = $189

Income statement is as follows:

Sales                                $189,000,000

Cost of goods sold           (101,000,000)

Gross profit                      $88,000,000

Expenses:

Selling expenses             $16,000,000

Administrative expenses  12,600,000

Total expenses                (28,600,000)

Operating income          $59,400,000

                                      Variable    Fixed

Cost of goods sold           70%        30%

Selling expenses              75%        25%

Administrative expenses 50%        50%

Total variable costs for the current year:

                                      Variable  

Cost of goods sold           70% * $101,000,000 = $70,700,000

Selling expenses              75% * $16,000,000 =     12,000,000

Administrative expenses 50% * $12,600,000 =      6,300,000

Total variable costs = $89,000,000

Variable unit cost = $89 ($89,000,000/1,000,000)

Contribution per unit = $100 ($189 - $89)

Total fixed costs for the current year:

                                          Fixed

Cost of goods sold             30% * $101,000,000 = $30,300,000

Selling expenses                25% * $16,000,000  =      4,000,000

Administrative expenses   50% * $12,600,000 =       6,300,000

Total fixed costs =  $40,600,000

Projected sales for the next year = $202,230,000 ($189,000,000 + $13,230,000)

Percentage Increase in sales for the next year = $13,250,000/$189,000,000 * 100 = 7%

Fixed costs caused by expansion = $4,500,000

Total fixed costs = $45,100,000 ($40,600,000 + $4,500,000)

Variable costs = $95,230,000 ($89,000,000 * 1.07)

Contribution margin:

Sales                                $202,230,000

Variable costs                      95,230,000

Contribution margin        $107,000,000

Expenses:

Fixed costs                          45,100,000

Operating income            $61,900,000

Sales volume = 1,070,000 units (1,000,000 * 1.07)

Contribution per unit = $107,000,000/1,070,000 = $100

Sales at current level:

Sales                                $189,000,000

Variable costs                     89,000,000

Contribution                    $100,000,000

Fixed costs                          45,100,000  

Operating income           $54,900,000

6 0
2 years ago
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