Answer:
option $13.30
Explanation:
Data provided in the question:
Units sold = 50,000
Revenue = $850,000
Fixed cost = $210,000
Variable cost = $140,000
Selling and administrative costs:
Fixed = $300,000
Variable = $45,000
Tax rate = 40%
Production and sales for the next accounting period = 40,000
Now,
Total Contribution margin = Revenue - Variable cost
= $850,000 - $140,000 - $45,000
= $665,000
Therefore,
For 40,000 units
Contribution margin per unit
= ( Total contribution margin ) ÷ (Number of units sold )
= $665,000 ÷ 50,000
= $13.30
Note : Contribution margin remains the same in per unit
Hence,
For 40,000 sales the Contribution margin per unit will be option $13.30
Contribution format income statement
Contribution margin income statements refer to the statement which shows the amount of contribution arrived after deducting all the expenses that are variable from the total revenue amount. Then, further fixed expenses are deducted from the contribution to get the net profit/loss of the business entity.
break-even point
The Break-Even Point The break-even point (BEP) in economics, business —and specifically cost accounting —is the point at which total cost and total revenue are equal, i.e. "even". There is no net loss or gain, and one has "broken even", though opportunity costs have been paid and capital has received the risk-adjusted, expected return.
Learn more about break-even point here
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Answer: The law of demand
Explanation: The law of demand states that everything else being equal, the demand and price of a commodity will reflect a negative relationship.
This negative relationship occurs due to the income effect. As per the income effect when the price of a commodity rises, many of its existing customers stops consuming it as the price of the commodity exceeds their purchasing power.
Hence, from the above we can conclude that the right option is B.
Answer:
“and get rich” I believe that’s the answer
Explanation:
Answer:
switch from exporting to overseas manufacturing
Explanation:
- The restrictive trade barriers are those don't favour the trade to take place and they place restrictions on the quality and quantity to be imported into a country.
- Quotas and tariffs are some of the restrictions that are placed by the governments of the countries for the collection of the revenue.
- <u>And increases the forms revenue base through the exports usually done to protect from the cheap labour and to make improvements in the trade deficits and protect the domestic suppliers and infant industries. </u>
