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
kakasveta [241]
2 years ago
12

A company's flexible budget for 24,000 units of production showed total contribution margin of $93,600 and fixed costs, $31,200.

The operating income expected if the company produces and sells 29,000 units is:
a. $81,900.
b. $105,300.
c. $11,700.
d. $62,400.
e. $18,400.
Business
1 answer:
Levart [38]2 years ago
4 0

Answer:

a. $81,900.

Explanation:

The contribution margin per unit is obtained by dividing the total contribution margin by the 24,000 units produced.

CM = \frac{\$93,600}{24,000} = \$3.9\ per\ unit

The expected operating income is given by the contribution margin minus the fixed costs. For 29,000 units sold, the operating income is:

I = \$3.9*29,000 - \$31,200\\I=\$81,900

The answer is a. $81,900.

You might be interested in
User add controls to a form
mixas84 [53]
Do you have a question about it?
5 0
3 years ago
Read 2 more answers
Jim runs a plant that produces cosmetics and uses a flexible manufacturing production process, while his brother Bill runs a pla
weeeeeb [17]

Answer:

Jim's plant can produce products with slight variations

Explanation:

Jim runs a plant which uses a flexible manufacturing production process. This means that his products can offer some range of variations according to the suits or demands of customers, which will be especially helpful when there is a change in taste among customers.

Bill, however uses basic appliances and a mass production system. His products may therefore, suffer due to little variations between them in the case of a change in customers' preferences.

8 0
3 years ago
Countess Corp. is expected to pay an annual dividend of $4.63 on its common stock in one year. The current stock price is $74.11
Mamont248 [21]

Answer:

r = 0.099974 or 9.9974% rounded off to 10.00%

Explanation:

Using the constant growth model of DDM we calculate the price of a stock today which is expected to pay a dividend which increases at a constant rate through out. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price under this model is,

P0 = D1 / r - g

Where,

  • r is the required rate of return or cost of equity
  • g is the constant growth rate in dividends

Plugging in the available values in the formula, we calculate r to be,

74.11 = 4.63 / (r - 0.0375)

74.11 * (r - 0.0375) = 4.63

74.11r - 2.779125 = 4.63

74.11r = 4.63 + 2.779125

r = 7.409125 / 74.11

r = 0.099974 or 9.9974% rounded off to 10.00%

7 0
3 years ago
An asset having a four-year service life and a salvage value of $6,000 was acquired for $50,000 cash on April 5. Using straight-
Lana71 [14]

Answer:

the depreciation expense at the end of the first year, December 31 is $ 8,250

Explanation:

Straight line Method of Depreciation Charges the same amount of depreciation over the useful life of the asset.

Depreciation Charge = (Cost - Salvage Value) / Useful Life

Depreciation Charge = ($50,000-$6,000) / 4 years

                                   = $11,000

<u>Apportionment of Depreciation Charge</u>

<em>From April 5 to December 13 there are 9 months</em>

Therefore depreciation for the year is apportioned as follows :

Depreciation Charge = 9/12× $11,000

                                   = $ 8,250

3 0
3 years ago
g To decrease the money supply, the Fed could Group of answer choices All of the above are correct. increase the discount rate.
lora16 [44]

Answer:

All of the above are correct

Explanation:

When central banks or the Federal Reserve wants to control money supply in the economy it uses various tools that either mop up or increase money supply to the economy.

An increase in discount rate results in high interest rate of borrowing by commercial banks from the Federal Reserve. Cost of borrowing nos increased so money supply reduces.

Selling of government bonds is used to reduce cash in circulation. As investors buy the bonds money is moved from the economy to the Federal Reserve.

Reserve requirement is the amount of cash that commercial banks are required to keep with the Reserve. An increase in this means commercial banks have less to give to its customers

7 0
3 years ago
Other questions:
  • At the beginning of 2017, Yummy Cupcakes, Inc. has the following ledger balances: Accounts Receivable $40,000 (Debit) Allowance
    13·1 answer
  • Which position describes karl marx’s view of religion and society?
    5·1 answer
  • During the past six months, 73.2% of US households purchased sugar. Assume that these expenditures are approximately normally di
    13·1 answer
  • When evaluating a Website, which of the following statements might indicate the site is based on the author’s opinion instead of
    12·2 answers
  • Cartels are corporations that control almost all of the production and sale of a single product.
    10·1 answer
  • experiencing rapid growth. Dividends are expected to grow at 25 percent per year during the next three years, 18 percent over th
    15·2 answers
  • Mica created a set of procedures describing how to operate his company's new time clock. He wants to add illustrations to his do
    5·2 answers
  • When was the first convention center built?
    12·2 answers
  • Who is called living lion of nepal and why and when he got this title​
    6·1 answer
  • Kyle would increase his consumption of turkey sandwiches from 7 to 9 per week if their price fell from $6 to $4. This illustrate
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!