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STatiana [176]
3 years ago
7

In 2019, Sheffield sold 1000 units at $500 each, and earned net income of $40000. Variable expenses were $400 per unit, and fixe

d expenses were $110000. The same selling price is expected for 2020. Sheffield’s variable cost per unit will rise by 10% in 2020 due to increasing material costs, so they are tentatively planning to cut fixed costs by $10000. How many units must Sheffield sell in 2020 to maintain the same income level as 2019?
a. 2333
b. 1556
c. 1000
d. 1167
Business
1 answer:
Feliz [49]3 years ago
5 0

Answer:

correct option is a. 2333

Explanation:

solution

we know here Expected Variable Cost per unit is  

Expected Variable Cost per unit= $400 + ($400 × 10%)

Expected Variable Cost per unit = $440

Expected Fixed Cost = $110,000 - $10,000

Expected Fixed Cost = $100,000

Selling Price = $500 per unit

so

we consider number of units to be sold to earn Net Income of $40,000 will be  X Units

so equation will be

Net Income = Sales - Variable Expenses - Fixed Cost     ..................1

put here value we get

$40,000 = ($500 × X) - ($440 × X) - $100,000

X = 2333.33

X = 2333 units

so correct option is a. 2333

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Jacob Corcoran bought 10,000 shares of Grebe Corporation stock two years ago for $24,000. Last year, Jacob received a nontaxable
dezoksy [38]

Answer:

Jacob purchased 10000 shares form Grebe corporation two years ago for $24000

last year Jacob received a non taxable stock dividend of 2000 shares from Grebe corporation

In the current year tax year Jacob sold all stock received as dividend that's 2000 shares for $18000

The gain of the sale of 2000 shares can be calculated by subtracting the basis in the shares from the cost price. the cost of shares = ( $24000 / 12000 ) = $2 per share

profit made from the sales of 2000 shares is calculated as follows ; selling price ( $18000 ) - cost price of 2000 shares ( $2 * 2000) , the profit is $14000 and it is in the long term because the original shares bought has been held for at least 1 year

Explanation:

Jacob purchased 10000 shares form Grebe corporation two years ago for $24000

last year Jacob received a non taxable stock dividend of 2000 shares from Grebe corporation

In the current year tax year Jacob sold all stock received as dividend that's 2000 shares for $18000

The gain of the sale of 2000 shares can be calculated by subtracting the basis in the shares from the cost price. the cost of shares = ( $24000 / 12000 ) = $2 per share

profit made from the sales of 2000 shares is calculated as follows ; selling price ( $18000 ) - cost price of 2000 shares ( $2 * 2000) , the profit is $14000 and it is in the long term because the original shares bought has been held for at least 1 year

8 0
3 years ago
Ocean City Kite Company sells kites for $11.50 per kite. In FY 2019, total fixed costs are expected to be $250,000 and variable
Dmitry_Shevchenko [17]

Answer:

40,000 kits

Explanation:

The computation is shown below:

Number of kits required to be sold to meet the goal = Total Contribution Margin Required ÷ Contribution Margin per Unit

where,

Total contribution margin required is

= Total fixed cost + operating income

= $250,000 + $90,000

= $340,000

And, the

Contribution Margin per Unit = Selling Price per Unit - Variable Cost per unit

= $11.50 - $3

= $8.50

So, the number of kits required is

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3 years ago
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WARRIOR [948]

Answer: Option A      

       

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This theory suggests that the level of regret that one feels depends on two factors, the net desirability between the option chooses and option not chooses,  the importance of the decision made in the Decision makers life.

In the given case, Kimberly bought a camera and now think she did not make right choice. Hence from the above we can conclude that the correct option is A.

3 0
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g define the process of accommodation in the mechanism of focusing by the eye. what factors lead to age-related changes in accom
Luba_88 [7]

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The process of accommodation, or focusing on near objects, happened by a concerted action of the ciliary muscle on the zonule fibers which hold the lens in place. The ciliary muscle can be described as a ring of smooth muscle that, upon contraction, relaxes the tension on the zonular fibers and allows the lens to become more spherical.

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PLEASE HELP!!!
Luden [163]

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5 0
3 years ago
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