Answer:
The weighted average unit contribution is $81 per unit.
Explanation:
The contribution per unit is the amount each unit contributes to covering the fixed costs. It is calculated by deducting the variable cost per unit from the selling price per unit.
The weighted average unit contribution is used when there are more than one product that a company produces and is used in calculating the overall or composite break even point. The weighted average unit contribution is the overall unit contribution for all of the products of the company according to their weights in the sales mix.
For a company that produces two products,
Weighted average unit contribution = Contribution per unit of Product A * Weight of Product A in sales mix + Contribution per unit of Product B * Weight of Product B is sales mix
Weighted average unit contribution = (150 - 90) * 0.3 + (195 - 105) * 0.7
Weighted average unit contribution = $81 per unit
Answer:
B and C are mis-categorized balance sheet.
Explanation:
A. Accounts Payable: Accounts payable refers to amounts that are due to be paid by a company to vendors or suppliers of goods or services received without making payments yet. This is a liability item and the categorization is correct.
B. Prepaid expenses: These are advanced payments made by a company for commodities yet to receive. This is an asset item and the categorization is not correct.
C. Accounts Receivable: These refers to amounts that are owed to a company by its debtors for goods or services supplied to them for which they are yet to pay for. This is an asset item and the categorization is not correct.
D. Accrued expenses: These refers to expenses that have been incurred by a company but which the company is yet to pay for. This is a liability item and the categorization is correct.
E. Unearned revenue: This refers to advanced payment received by a company in respect of goods it is yet to deliver or services it is yet to render. This is a liability item and the categorization is correct.
F. Long-term debt: This refers to the amount of of outstanding debt of business with a maturity of 12 months or longer. This is a liability item and the categorization is correct.
Conclusion
Only B and C are mis-categorized balance sheet. The reason is that they are both asset items, current assets to be specific, not liability items.
Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Direct materials $ 20
Direct labor 15
Overhead (60% variable) 20
Cost to manufacture $ 55
The above cost information is based on 10,000 units.
Parton currently sells 8,500 units for $62 per unit.
A distributor has offered to buy 1,000 units for $50 per unit.
We will have into account only the variable costs:
Unitary variable cost= 20 + 15 + (20*0.60)= 47
A) Increase in income= (50-47)*1000= $3,000
B) Regular units= 3000/(62 - 55)= 429 units
Answer:
. C) a drop in the foreign exchange value of the dollar.
Explanation:
An aggregate demand curve can be regarded as a curve that display total spending that is available
domestic goods/services with respect to their price level. the horizontal axis provide the real GDP while price level is displayed by vertical axis. It should be noted that The aggregate demand curve would shift to the right as a result a drop in the foreign exchange value of the dollar.
