In each of the following sentences, select the appropriate answer option as debitor credit

Prepare traditional and contribution margin income statements (Learning Objective 6) The Willowick Ice Cream Shoppe sold 8,700 s

Leto [7]

Answer:

Sales Revenues 26100

COGS 5655

gross profit 20445

rent expense 1600

depreciation expense 200

operating expense 2600

net income 16045

Sales Revenues 26100

Variable Cost 6305

Contribution margin 19795

rent expense 1600

depreciation expense 200

fixed operating expense 1950

net income 16045

Explanation:

traditional:

COGS

$12 tub / 30 ice cream cones = $0.40

+ 0.25 ice cream cones

total per unit 0.65

8,700 x 0.65 = 5655

Gross profit: sales revenue less COGS

then, we subtract the rent expense, depreicaiton expense and operatign expenses to get net income.

contribution the variable cost will be subtracted from the sales revenues

that will include the 75% of the operating expenses

The difference between sales revenue and variable cost is called contribution margin.

6 0

2 years ago

BrainTrust Company produces and sells educational toys for children. In pricing its product, the company needs to make sure it p

gayaneshka [121]

Complete Question:

BrainTrust company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is what percentage of total distribution cost?

a. 50%

b. 75%

c. 30%

d. 100%

Answer:

a. 50%

Explanation:

In this scenario, BrainTrust Company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is 50% of total distribution cost.

In supply chain management, the total distribution cost can be defined as the overall expenses incurred by a manufacturer in the process of delivering finished goods and services from the production stage to the final consumer. The total distribution cost can either be direct or indirect expenses incurred on insurance, handling, storage, shipping, packing and logistics.

Generally, the total amount spent on the movement of goods and services from one location to another, usually accounts for half (50%) of the overall expenses incurred in total distribution cost.

8 0

3 years ago

A private, not-for-profit hospital received a donation of medicine from the XYZ Pharmaceutical Company on March 15, 20X9. The co

jeka57 [31]

Answer:

$90,000

Explanation:

5 0

3 years ago

According to the PMQ Pizza Magazine, an estimate of pizza sales in the United States for the top 100 pizza companies was $44.3 b

shusha [124]

Answer:

PMQ Pizza Magazine

Estimate of Pizza Sales in the United States for top 100 pizza companies

a. Computation of the sales per franchise unit:

Name of company Units Sales Sales per Franchise unit

Domino's 14,490 12,252 $0.845

Pizza Hut 16,336 12,034 0.737

Little Caesars Pizza 5365 4,000 0.746

Papa John's International 5071 3,695 0.729

California Pizza Kitchen 260 840 3.231

b. Frequency distribution based on total sales:

Frequency Sales ($ millions)

O up to 1750 840

1750 up to 3500 0

3500 up to 5250 7,695

5250 up to 7000 0

7000 up to 8750 0

8750 up to 10500 0

10500 up to 12250 12,034

12250 up to 14000 12,252

Total sales 32,821

c. Frequency distribution of companies based on per unit sales:

Frequency Per unit sales ($ millions)

0.0 up to 0.5 0

0.5 up to 1 4

1 up to 1.5 0

1.5 up to 2 0

2 up to 2.5 0

2.5 up to 3 0

3 up to 3.5 1

3.5 up to 4 0

Total 5

Explanation:

a) Data and Calculations:

Total estimated sales in 2018 = $44.3 billion

Top 5 Companies Total gross sales in $ millions.

Name of company Units Sales Sales per Franchise unit

Domino's 14,490 12,252 $0.845 (12,252/14,590)

Pizza Hut 16,336 12,034 0.737 (12,034/16,336)

Little Caesars Pizza 5,365 4,000 0.746 (4,000/5,365)

Papa John's International 5,071 3,695 0.729 (3,695/5,071)

California Pizza Kitchen 260 840 3.231 (840/260)

b. Frequency distribution based on total sales:

Frequency Sales ($ millions)

O up to 1750 840

1750 up to 3500 0

3500 up to 5250 7,695

5250 up to 7000 0

7000 up to 8750 0

8750 up to 10500 0

10500 up to 12250 12,034

12250 up to 14000 12,252

Total sales 32,821

c. Frequency distribution of companies based on per unit sales:

Frequency Per unit sales ($ millions)

0.0 up to 0.5 0

0.5 up to 1 4

1 up to 1.5 0

1.5 up to 2 0

2 up to 2.5 0

2.5 up to 3 0

3 up to 3.5 1

3.5 up to 4 0

Total 5

7 0

3 years ago

A computer company had $3,000,000 in research and development costs. Before recording these costs, the net income of the company

JulijaS [17]

Answer:

Net income of the company accounted for $400,000

Explanation:

Net income is the income or the amount of residual income from the earnings after deducting all the expense or cost from the sales.

The net income or loss of the company accounted for is computed as:

Net Income or Loss = Net Income - Research and Development cost

where

Net Income amounts to $3,400,000

Research and Development cost amounts to $3,000,000

So, putting the values above:

Net Income or loss = $3,400,000 - $3,000,000

Net Income = $400,000

7 0

3 years ago