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docker41 [41]
3 years ago
6

Engberg Company installs lawn sod in home yards. The company’s most recent monthly contribution format income statement follows:

Amount Percent of Sales Sales $ 126,000 100 % Variable expenses 50,400 40 % Contribution margin 75,600 60 % Fixed expenses 23,000 Net operating income $ 52,600 Required: 1. What is the company’s degree of operating leverage? 2. Using the degree of operating leverage, estimate the impact on net operating income of a 27% increase in unit sales. 3. Construct a new contribution format income statement for the company assuming a 27% increase in unit sales.
Business
1 answer:
GaryK [48]3 years ago
8 0

Answer:

See answer below

Explanation:

1. Degree of operating leverage

Selling price $126,000

Variable cost $50,400

Contribution margin $75,600

Fixed cost $23,000

Net operating income $52,600

Degree of operating leverage = Contribution margin / operating income = $75,600 / $52,600

= 1.44

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John is a low-level employee at an accounting firm. In his duty as an employee at the firm, John forges documents and signatures
ANEK [815]

Answer:

the three of them could be held personally liable:

  • I. John
  • II. John's manager
  • III. The CEO, who in this specific case we assume could have prevented the crime.

Explanation:

John committed forgery and possibly fraud by forging clients' signatures on documents held by the company. His boss ordered him to do so, so he is also responsible for John's actions. John can even try to put all the blame on his boss alleging that he was forced to forge the signatures. The CEO of the firm is also responsible because the forged documents had to serve someone's illegal purposes, and the CEO probably was the one that needed them or knew about what was going on and didn't do anything to stop it.

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3 years ago
Journalize the December 31 adjusting entry required if the amount of unearned fees at the end of the year is $12,530. Refer to t
BlackZzzverrR [31]

Answer:

Dr Unearned fees $24,510

Cr Fees earned $24,510

Explanation:

Preparation of the December 31 adjusting entry required

Based on the information given if the balance shown in the unearned fees account was the amount of $37,040 before adjustment at the end of the year which means that if the amount of unearned fees at the end of the year is the amount of $12,530 the December 31 adjusting entry required will be :

Dr Unearned fees $24,510

Cr Fees earned $24,510

($37,040-$12,530)

7 0
3 years ago
If the price of jelly goes up by 10 percent, we observe a decrease in the quantity demanded of peanut butter of 20 percent. the
Sedaia [141]
Cross price elasticity refers to the measure of responsiveness of the quantity demanded of a product to a change in price of another good. 
From the question given above, 
cross price elasticity = -20% / 10% = -2.
The cross price elasticity for the goods above is - 2. Which means that the goods are not substitutes. 
A positive cross price elasticity which is greater than zero means that the goods are substitutes.
6 0
3 years ago
Some organizational factors increase a project's likelihood of success. identify these "facilitators" for the green project.
Westkost [7]

The facilitators for the Green Project are the following:

1. The CIO, Brian Smith, since the Green Project is under him.

2. The PM of the Green Project, Werner McCann

3. The Usability Expert, Linda Perkins.

These persons are the ones who will facilitate the Green Project.

3 0
3 years ago
Peterson Corporation wanted to run an ad campaign that featured popular songs sung by the original singer. The aim was to make a
belka [17]

Answer:

Misappropriation refers to the use of another person's intellectual property including their name or likeness without prior permission from the person which can then cause harm to that person.

This is indeed an example of misappropriation because the company tried to use Bette's likeness in the commercial. After being rebuffed by Bette saying that she does not do commercials for whatever business or personal reasons known to her, they still sought to use her popularity and image to make their products more popular.

To do so they hired a backup singer and told her to sing as much like Bette as she could so much so that even Bette's close acquaintances thought that it was Bette. If her close acquaintances could think it was her, imagine the general public.

They therefore made it seem as though Bette did their commercial which then would mean that Bette does in fact do commercials which would do damage her assertion that she does not do same. This would bring harm to her business relationships if for instance she had rebuffed other companies in the past when they sought her to do their commercials.

This is a case of Misappropriation and Bette should sue.

8 0
3 years ago
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