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Afina-wow [57]
3 years ago
11

A company desires to sell a sufficient quantity of products to earn a profit of $400,000. If the unit sales price is $20, unit v

ariable cost is $12, and total fixed costs are $800,000, how many units must be sold to earn net income of $400,000?
A) 225,000 units
B) 150,000 units
C) 120,000 units
D) 90,000 units
Business
1 answer:
Amanda [17]3 years ago
3 0

Answer:

Number of units to be sold = 150000

So option (b) is correct option

Explanation:

We have given net income = $400000

Unit sales price = $20

Unit variable cost= $12

Total fixed cost $800000

Units must be sold to earn net income of $400,000 =

=profit+\frac{total\ fixed\ cost}{sale\ price}-ubit\ variable\ cost=400000+\frac{800000}{20}-12=150000units

So number of units to be sold = 150000

So option (b) is correct option

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Answer:

  • The adjustment causes an increase in an asset account and an increase in a revenue account.
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Explanation:

Accrued revenue refers to cash earned for selling a good or delivering a service yet the cash has not been received and the transaction was not recorded in the books as revenue. This means that the cash has been earned but it has not been billed to the customer it was earned from.

When the books are being adjusted for this, the accounts receivable - which is an asset account - will increase to show that cash is owed. Revenue will also increase as this was cash earned from delivering a good or service.

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Explanation:

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The comparative advantages is one of the term that is used to refers to the economical ability that helps in providing the various types of products and also reflecting the overall production opportunity in terms of cost.

Accordion to the given scenario, we use the comparative advantages for determining the person for washing the dishes from both the co-workers.

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4 years ago
Sealed Bidding is appropriate when discussion/negotiations are required to determine price and delivery terms?
denpristay [2]

Answer:

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In a sealed bidding, bidders have no opportunity to discuss/negotiate. They just present an offer adjusted to the terms of the requirer of the good or service that is submitted to bidding.

4 0
3 years ago
Which of the following companies has the lowest degree of leverage?
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The firm with a 20% Debt and 80% Equity has the lowest degree of leverage.

<h3>What is a degree of leverage?</h3>

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Because the Firm C has a low debt, this means its has the lowest degree of leverage when compared to others.

Therefore, the Option C is correct.

Missing options "90% Debt, 10% Equity

30% Debt, 70% Equity

20% Debt, 80% Equity

50% Debt, 50% Equity"

Read more about degree of leverage

<em>brainly.in/question/8720374</em>

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