1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Anastaziya [24]
3 years ago
8

Aces, Inc., a manufacturer of tennis rackets, began operations this year. The company produced 6,000 rackets and sold 4,900. At

year-end, the company reported the following income statement using absorption costing. Sales (4,900 × $90) $ 441,000 Cost of goods sold (4,900 × $38) 186,200 Gross margin $ 254,800 Selling and administrative expenses 75,000 Net income $ 179,800 Production costs per tennis racket total $38, which consists of $25 in variable production costs and $13 in fixed production costs (based on the 6,000 units produced). Ten percent of total selling and administrative expenses are variable. Compute net income under variable costing.
Business
1 answer:
SVETLANKA909090 [29]3 years ago
8 0

Answer:

$165,500

Explanation:

Given that,

Sales (4,900 × $90) = $ 441,000

Cost of goods sold (4,900 × $38) = 186,200

Gross margin = $ 254,800

Selling and administrative expenses = $75,000

Net income = $ 179,800

Production costs per tennis racket total = $38

Variable production cost = $25

Fixed production cost = $13

Units produced = 6,000

Contribution margin:

= Sales - Variable production costs

= $441,000 - (4,900 × 25)

= $441,000 - $122,500

= $318,500

Fixed costs = Fixed production costs + Selling and administrative expenses

                   = ($13 × 6,000) + $75,000

                   = $78,000 + $75,000

                   = $153,000

Net income under variable costing:

= Contribution margin - Fixed costs

= $318,500 - $153,000

= $165,500

You might be interested in
What are five things you can do to overcome stereotypes?
svlad2 [7]

Explanation:

First of all we need to know what stereotype actually is. So stereotype is basically the over generalized belief of someone about something or someone else based on some assumptions. The simplest example of stereotype can be seen as, 'A woman is always caring'. This is a stereotype about a particular group of human beings. So there are a lot of other stereotypes too which prevails in our societies. Now we have to overcome such stereotypes by doing the following things:

  • Admit and Say that the stereotypes are wrong
  • Find famous people to give examples of, who think stereotypes are wrong
  • Debate about the wrong associated with stereotypes by giving them sufficient evidence and examples
  • Do what you feel like doing about breaking the stereotypes
  • Provide data to people with examples about people who are not that stereotype.
6 0
3 years ago
Read 2 more answers
The Playa Company has the following information in its records. Certain data have been intentionally omitted ($ in thousands). R
nikklg [1K]

Answer:

Particulars                                      2021                2022                    2023

Beginning Inventory                        <u>277</u>                <u>253</u>                         235

Cost of Goods sold                          633                623                        <u> </u><u>586</u>

Ending inventory                             <u> </u><u>253 </u>              235                          220

Cost of good available for sale       886                <u>876</u><u> </u>                         806

Purchases                                         640                <u>623 </u>                         595

Purchase discounts                           20                   17                            <u>26</u>

Purchase returns                               26                   32                            16

Freight-in                                            15                    34                            18

Explanation:

There are few missing values which are calculated using back solving technique. These values are bold and underlined. Playa Company has missing information for its three year accounts.

Available for sale = Beginning inventory + Net Purchases

Cost of Goods Sold =  Cost of good available for Sales - Ending inventory

Ending inventory = Cost of Goods available for Sales - Cost of Goods Sold.

Net purchases = Gross purchases + Freight in - Purchase discount - Purchase return

8 0
3 years ago
Luis consulting started the year with total assets of $60,000 and total liabilities of $17,000. during the year, the business re
BARSIC [14]
Owner's equity at the beginning of the year is
Assets-liabilities
60,000−17,000=43,000

Owner's equity at the end of the year is
Beginning balance+revenues-expenses+additional investment-withdrawal amount
43,000+48,000−36,000
+8,000−9,000
=54,000

Owner's equity changed by
ending balance-beginning balance
54,000−43,000=11,000. ..answer
6 0
3 years ago
A disadvantage of the line structure is that it
Ivahew [28]

Answer:

Disadvantages of a Line Organization

A line organization can suffer from a lack of specialization. This is because each department manager is concerned only with the activities of his own department. Therefore, employees are skilled in tasks pertaining to their departments alone.

These organizations can overburden a keyman or a few key-men to the extent of their breaking point. Also, in the absence of a staff aid, if a strong man seizes the organization, he can run it arbitrarily. Such arbitrary power can lead to a considerable damage to the organization.

Such organizations usually suffer from a lack of expert advice. If the line manager has trouble making a decision, there is no expert staff that he can turn to.

A line organization is usually rigid and inflexible. In fact, such organizations maintain discipline so rigorously that they can rarely change.

These organizations are based on the autocratic system of management.

The division of work is not based on any scientific plan but on the whims of the manager.

It might stop progress and prevent the unit to work effectively.

Such organizations might also encourage nepotism or favoritism based on relationship or friendship.

I hope this is helpful information.

8 0
3 years ago
PLS Help like fast im on a test and its timed!!!!!Workers typically get dirty if they work at a job site for: 1.both the Constru
mylen [45]

Answer:

the first one

Explanation:

animae is gay

7 0
3 years ago
Read 2 more answers
Other questions:
  • Corba Company is evaluating whether to replace an old machine with a new, more efficient machine. Corba purchased the old machin
    14·1 answer
  • Suppose you were assigned the task of choosing a price that maximized economic surplus. What price would you​ choose? ​ Why? A.
    6·1 answer
  • A mutual fund has $2 million in cash and $6 million invested in securities. It currently has 1 million shares outstanding.
    13·1 answer
  • An environmentally, friendly 2,800 square-foot green home (99% air tight) cost about 8% more to construct than a same-sized conv
    12·1 answer
  • Describe how price affects decisions that consumers make
    15·1 answer
  • Which of the following teams is more likely to be made up of employees from about the same hierarchical level but different work
    11·1 answer
  • A corporation sold 1,000 shares of its $2.00 par value common stock for $10.00 per share and later repurchased 100 of those shar
    9·1 answer
  • When Karin’s supervisor asks about her work load she says it is fine. In actuality, she spends much of her time on personal call
    7·2 answers
  • Swifty Corporation purchased a machine for $66000 on July 1, 2020. The company intends to depreciate it over 8 years using the d
    7·1 answer
  • Name two global exchange services
    9·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!