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sineoko [7]
3 years ago
13

Ahmed & Co. makes and sells two types of shoes, Plain and Fancy. Data concerning these products are as follows: Unit selling

price: Plain - $ 20.00, Fancy - $ 35.00 Variable cost per unit: Plain - 12.00, Fancy - 24.50 Sixty percent of the unit sales are Plain, and annual fixed expenses are $45,000. 1) The weighted-average unit contribution margin is: (Round intermediate calculations and final answer to 2 decimal places):
a) $6.60.
b) $2.40.
c) $14.60.
d) $6.85.
e) an amount other than those above.

2) Assuming that the sales mix remains constant, the total number of units that Jamal must sell to break even is: (Round intermediate calculations to 2 decimal places and final answer to a nearest whole number):
a) 4,147.
b) 6,500.
c) 3,932.
d) 6,237
e) an amount other than those above.
Business
1 answer:
Vlad [161]3 years ago
6 0

Answer:

1. Option (e) is correct.

2. Option (e) is correct.

Explanation:

(a) Weighted-average unit contribution margin:

= (Unit selling price of plain - plain's variable cost) × 60% + (Unit selling price of fancy - fancy's variable cost) × 40%

= (20 - 12) × 60% + (35 - 24.50) × 40%

= $4.8 + $4.2

= $9

(b) Break even sales:

= Annual fixed expenses ÷ Weighted-average unit contribution margin

= 45,000 ÷ 9

= 5,000

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During the course of your examination of the financial statements of the Hales Corporation for the year ended December 31, 2021,
Nana76 [90]

Answer:

$35,260

Explanation:

Calculation to Determine the proper amount of net income for 2021

Unadjusted net income $33,000

Adjustments:

a. Insurance expense overstated $2,800

[4,200-(4,200/3)]

b. Sales revenue overstated $(675)

c. Supplies expense overstated $645

d. Interest expense understated $(510)

(12%*17,000*3/12)

Adjusted net income $35,260

Therefore the proper amount of net income for 2021 will be $35,260

3 0
3 years ago
Carmel Corporation is considering the purchase of a machine costing $41,000 with a 8-year useful life and no salvage value. Carm
Andru [333]

Answer:

E. $20,500

Explanation:

The average investment is defined as the average between the initial investment and the salvage value of the equipment.

In this situation, Carmel Corporation had an initial investment of $41,000 for the machine and its salvage value is zero. Therefore, Carmel's average investment is:

AI = \frac{\$41,000+0}{2} \\AI = \$20,500

The answer is alternative E. $20,500

3 0
3 years ago
Under Life Solicitation Rule, the definition that applies to a consumer that is most concerned about death benefit proceeds to b
Fiesta28 [93]

Answer:

life insurance net payment cost index

Explanation:

The accidental death benefit is referred to as a payment due to the sole beneficiary of an accidental death insurance policy. The accidental death benefit mostly is an amount paid which adds to the standard benefit payable if

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6 0
3 years ago
Analysis of Receivables Method At the end of the current year, Accounts Receivable has a balance of $420,000; Allowance for Doub
Fiesta28 [93]

Answer and Explanation:

The computation is shown below:

a. Amount of adjusting entry for uncollectible accounts

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= $20,400

b. Adjusted balances

For account receivable

= account receivable

= $420,000

For allowance for doubtful debts

= Estimated amount

= $16,400

For bad debts

= AMount of adjusting entry

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= $420,000 - $16,400

= $403,600

8 0
3 years ago
The derived demand for an input will rise when it is highly productive in ______. Multiple select question. increasing the costs
Step2247 [10]

Answer:

Tt is highly productive in reducing the costs to produce a product.

 it is highly productive in producing a highly valued commodity.

Explanation:

A product has derived demand If its demand is dependent on the demand for other products.

For example, there would be no need to demand for labour if no one demands for goods.

The derived demand for a good will increase if it reduces the price of the product and if it is important in the production of a good

4 0
3 years ago
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