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
Helga [31]
3 years ago
13

Goshen Company's contribution format income statement for the most recent month is given below: Sales (42,000 units) $ 1,218,000

Variable expenses 852,600 Contribution margin 365,400 Fixed expenses 292,320 Net operating income $ 73,080 The industry in which Goshen Company operates is quite sensitive to cyclical movements in the economy. Thus, profits vary considerably from year to year according to general economic conditions. The company has a large amount of unused capacity and is studying ways of improving profits.Required:New equipment has come on the market that would allow Goshen Company to automate a portion of its operations. Variable expenses would be reduced by $8.70 per unit. However, fixed expenses would increase to a total of $657,720 each month. Prepare two contribution format income statements, one showing present operations and one showing how operations would appear if the new equipment is purchased. (Input all amounts as positive values except losses which should be indicated by minus sign.)
Business
1 answer:
scoundrel [369]3 years ago
8 0

Answer:

Sales Revenue        1,218,000 1,218,000

Variable Cost                  852,600 487,200

Contribution margin   365,400 730,800

Fixed Cost                  292,320 657,720

Operating Income            73,080 73,080

Explanation:

Variable cost 852,600 / 42,000 units = 20.3 then - 8.7 for the decrease due to nex equipment = 11.6  Then 11.6 x 42,000 = 487,200

You might be interested in
To sign up for medicare prescription, individuals must be first be enrolled in
Firlakuza [10]
Are you asking which parts of medicare they need to be enrolled in? If so, I believe the answer is Medicare Part A or Parts A and B.
Hope this helps! :)
6 0
2 years ago
6. The split-level home is a variation of the
grigory [225]

Answer:

O C. Victorian house.

4 0
2 years ago
Read 2 more answers
Which of the following is the reason most people give for transferrin from a two year school to a four year school
dangina [55]

The reason could be that they want a higher education. 4 year degree is more rewarding than a 2 year degree. they want a higher education so they can get a better job that pays them even more. thats my opinion. remember this has to do more with money. the more you prepare yourself the more money you are able to get.

7 0
3 years ago
Select the correct point on the graph. Which point on the graph indicates the lowest quantity supplied of goods? 9.00 8.00 Price
disa [49]

Answer:

It would be A

Explanation:

3 0
2 years ago
The greeting of a cover letter is referred to as the
Slav-nsk [51]

Answer:

The answer is Salutation.

Explanation:

  • <u><em>A salutation is the greeting at the beginning of a cover letter that is included with a resume when applying for a job</em></u>
8 0
1 year ago
Other questions:
  • Esquire Comic Book Company had income before tax of $1,700,000 in 2021 before considering the following material items: Esquire
    9·1 answer
  • Which type of cybercriminal attack would interfere with established network communication through the use of constructed packets
    12·2 answers
  • Your job is on the cash register at the check-out counter. an impatient customer jumps ahead of several customers already waitin
    6·1 answer
  • Service quality greatly depends on the quality of the buyer-seller interaction during the service encounter. this is known as​ _
    8·1 answer
  • Shangrilah Sandals is a manufacturing firm in a developing country, where it routinely uses grease payments to local officials t
    15·1 answer
  • Suppose a gold miner finds a gold nugget and sells the nugget to a mining company for $500. The mining company melts down the go
    10·1 answer
  • What activities is a recent trend that may demonstrate employees taking responsibility for their own careers?
    11·1 answer
  • Global Technology’s capital structure is as follows: Debt 35 % Preferred stock 15 Common equity 50 The aftertax cost of debt is
    10·1 answer
  • One school of management thought states that organizational decisions and actions are influenced mainly by what attracts managem
    13·1 answer
  • If Mariette does not want to track the quantity on hand of the products she sells, what Product/Service type should she select w
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!