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
iVinArrow [24]
3 years ago
6

If the margin of safety for canace company was 20%, fixed costs were $1,875,000, and variable costs were 80% of sales, what was

the amount of actual sales (dollars)? (hint: de- termine the break-even in sales dollars f
Business
1 answer:
Paraphin [41]3 years ago
6 0

Calculation of amount of actual sales (dollars):

Step-1: Calculation of break-even in sales dollars:

Break-even in sales dollars = Fixed costs / (100%- Variable Cost %)

Break-even in sales dollars = 1875000 /(100%-80%)

Break-even in sales dollars = 1875000 /20%

Break-even in sales dollars = $9,375,000

Step-2: Calculation of actual sales:

Actual Sales = Break-even in sales dollars / (100% -Margin of safety %)

Actual Sales = 9375000 /(100%-20%)

Actual Sales = 9375000 /80%

Actual Sales = $11,718,750

Hence, the Amount of actual sales (dollars) is $11,718,750

You might be interested in
Why are there so many cell phone stores in bad neighborhoods?
frosja888 [35]
In my opinion, bad neighborhoods have a large amount of cell phone stores because the people in the bad neighborhood usually don't come across (or have for that matter) phones. And to see the 'cool' cellphones in person and to have the people sell it in person, the people in the bad neighborhood should want it more. And considering the modern generation we are living in right now, people like technology and want it, in the term 'humans as economical creatures', a human's want will never be satisfied, they will always want more. So, as I said, people and their families like technology, and all the cellphone sellers will come to the neighborhoods who will buy and want more, why would they sell in places where people already have cell phones, so they go to bad neighborhoods.

unless you mean 'bad' isn't 'not highly rich' then I don't know, but as a thirteen year old, I tried.
5 0
3 years ago
Theresa and Bobbi bought a racecar together. They agreed to share all expenses and split net profits equally. There was no agree
mestny [16]

Answer:

<em>No she is not, a partner has the right to quit the partnership at any moment in a partnership at will. </em>

Explanation:

General partners get the option and ability to leave the joint venture at whatever moment, whereas limited and restricted partners are only allowed to leave the partnership in accordance with the terms of the partnership agreement.

Bobby is in accordance with the law to leave whenever, and hasn't broken any agreement.

Whenever a general or limited partner chooses to leave the joint venture, the business continues to remain unless it has been agreed by all partners to dissolve.

5 0
3 years ago
If the price of walnuts rises, many people would switch from consuming walnuts to consuming pecans. But if the price of salt ris
lilavasa [31]

Answer:

b

Explanation:

4 0
2 years ago
For each of the following products and services, indicate whether it is more likely produced in a process operation or in a job
lord [1]

Answer:

Process operations are for when there are multiple goods to be produced. These products normally have the same specifications so can be mass produced.

This is different from Job order operation which is used when a single good is product. It is usually used for customized goods.

Process operations:

  • Beach towels
  • Bolts and nuts
  • Lawn chairs
  • Headphones

Job Order operation

  • Designed patio.
3 0
3 years ago
If inventory is being valued at cost and the price level is steadily rising, which of the three costing methods (FIFO, LIFO, wei
Nat2105 [25]

Answer:

LIFO                

Explanation:

It will be the one that give higher Cost of goods sold. We also know that:

Cost of goods sold = Opening Inventory + Inventory Purchases - Closing Inventory

So this means the lower the closing inventory the higher the cost of goods sold and in time of price increases it will be more appropriate to use LIFO method which will reduce the Closing Inventory and this will increase the cost of goods sold and thus decrease in profit. This reduced profit means that the tax expense will also be lower in value.

Similarly the second attractive option will be the Weighted Average and the least attractive option would be FIFO costing method.

5 0
3 years ago
Other questions:
  • If a document reaches you, and requires you to perform some action, you should do it immediately if ________. a. It is from your
    6·2 answers
  • The one-to-one property of natural logarithms states that if ln x = ln y, then
    10·1 answer
  • Describe an example of an equity investment that can also produce income. (1-3 sentences)
    14·1 answer
  • If you put $700 in a savings account at an interest rate of 3 percent, how much money will you have in one year?
    9·1 answer
  • The U.S. has recently imposed trade restrictions on China; prohibiting the import of many Chinese goods. Assume China DID NOT re
    15·1 answer
  • Companies use technology cycles and innovation streams for which of the following purposes? A. To create a competitive advantage
    5·1 answer
  • Dairy Cream Inc. makes and sells ice cream. Dairy Cream wants to merge with EZ Freeze Inc., its main competitor and a maker of i
    13·1 answer
  • Jordan is considering three choices of spending the new year's eve. Option A is to dine outside at a luxury restaurant; option B
    10·1 answer
  • A company has five plants p1, p2, p3, p4 and p5.​it now wabts to intorduce
    8·1 answer
  • Vella owns and operates an illegal gambling establishment. In connection with this activity, he has the following expenses durin
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!