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4 years ago

A company has net sales of $788,500 and cost of goods sold of $569,500. Its net income is $26,280. The company's gross margin

Business

1 answer:

lidiya [134]4 years ago

3 0

Answer:

Gross margin = $219,000

Operating income = $198,720

Explanation:

The computation of gross margin

and operating expenses is shown below:-

Gross margin = Net sales - Cost of goods sold

= $788,500 - $569,500

= $219,000

Net income = Gross margin - Operating expenses

$26,280 = $219,000 - Operating expenses

Operating expenses = $219,000 - $26,280

= $198,720

Therefore the gross margin is $219,000 and operating income is $198,720

We simply applied the above formulas

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Alex73 [517]

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1 year ago

A market: a. reflects upsloping demand and downsloping supply curves. b. always requires face-to-face contact between buyer and

shepuryov [24]

Answer:

c. is an institution that brings together buyers and sellers.

Explanation:

A market: is an institution that brings together buyers and sellers.

In mainstream economics, the concept of a market is any <u>structure that allows buyers and sellers to exchange any type of goods, services and information. </u>The exchange of goods or services, with or without money, is a transaction.

Furthermore it can be said to be any place where sellers of particular goods or services can meet with buyers of those goods and services by creating the potential for a transaction to take place.

6 0

3 years ago

Culver Company has four operating divisions. During the first quarter of 2017, the company reported aggregate income from operat

lana66690 [7]

Answer:

Income after discontinuing operations from both departments 1 and 2 is greateri.e. $ 207 444 than income after discontinuing operations from department 1 . i.e. $ 172964

Explanation:

Option 1:

If the 1st division is discontinued. 50 % of the fixed costs and expenses will continue and included in irrelevant costs.

Culver Company

Income Statement

For the 1st Quarter 2017

Division II III IV Irrelevant Costs

Sales $198,000 $499,000 $446,000

Cost of G. Sold 191,000 298,000 254,000

V. COGS 90 % 80 % 74 %

V.COGS 171,900 238,400 187960

FIxed COGs 19,100 59600 66,040 30690

Selling &

Administrative Exps 63,000 63,000 46,000

Var. S& Admin Exps. 62% 52% 58%

Var. S& Admin Exps. 39060 32760 26,680

Fixed S.& Admin Exps 23940 30240 19320 24346

Income (loss) $ (56,000) $138,000 $146,000

Total Income = $ (56,000)+$138,000+$146,000-30690- 24346

Total Income= $ 172964

Option 2:

If both the 1st and 2nd division are discontinued. 50 % of the fixed costs and expenses are added under the section II.

Culver Company

Income Statement

For the 1st Quarter 2017

Division II III IV Irrelevant Costs

Sales $499,000 $446,000

Cost of G. Sold 298,000 254,000

V. COGS 80 % 74 %

V.COGS 238,400 187960

FIxed COGs 9,550 59600 66,040 30690

Selling &

Administrative Exps 63,000 46,000

Var. S& Admin Exps. 52% 58%

Var. S& Admin Exps. 32760 26,680

Fixed S.& Admin Exps 11970 30240 19320 24346

Income (loss) $138,000 $146,000

Total Income = $138,000+$146,000-30690- 24346- 9,550 - 11970

Total Income= $ 207 444

We calculate the fixed and variable costs by multiplying with the given percentages and subtracting it from the total .

Culver Company

Income Statement

For the 1st Quarter 2017

Division I II III IV

Sales $250,000 $198,000 $499,000 $446,000

Cost of G. Sold 198,000 191,000 298,000 254,000

V. COGS 69 % 90 % 80 % 74 %

V.COGS 136,620 171,900 238,400 187960

FIxed COGs 61,380 19,100 59600 66,040

Selling &

Administrative Exps 74,900 63,000 63,000 46,000

Var. S& Admin Exps. 41% 62% 52% 58%

Var. S& Admin Exps. 30,709 39060 32760 26,680

Fixed S.& Admin Exps 48691 23940 30240 19320

Income (loss) $ (22,900) $ (56,000) $138,000 $146,000

3 0

4 years ago

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Nataly_w [17]

Answer:

C. backward vertical integration

Explanation:

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Cheers.

3 0

4 years ago

You have been working as an Assistant Manager at Mimi and Jasmine's (M&J) warehouse. M&J is an innovative cosmetics comp

irina1246 [14]

First of all, because there is no set manager, the owner probably does not know what the company is doing so, he will probably give it to you for a small price. After buying the company, you should first inquire about the employees (what can they do, what expirience etc.) After inquiring about the employees you need to promote the most expriienced and best employee as a manager. Because they have expirience, they will know who goes where.

I hope this helps.

7 0

3 years ago