Answer:
Break-even point in dollar sales
= <u>Fixed cost</u>
Contribution margin ratio
Product T
Contribution margin ratio
= <u>Contribution</u>
Sales
= <u>$408,000</u>
$1,020,000
= 0.40
Break-even point in dollar sales
= <u>$258,000</u>
0.4
=$645,000
Product O
Contribution margin ratio
= <u>$816,000</u>
$1,020,000
= 0.80
Break-even point in dollar sales
= <u>$666,000</u>
0.80
= $832,500
Explanation:
In this case, we need to calculate the contribution margin ratio of the two products, which is the ratio of contribution to sales. Then, we will determine the break-even point in dollar sales, which equals fixed cost divided by contribution margin ratio.
1. Click a persons profile
2. Then send an invitation so they can friend you
D I had this on a test and got it right
Answer:
The correct answer is letter "C": product costs include sales and administrative expenses.
Explanation:
Product costs are directly related to the manufacturing of a product. Product costs include direct labor, direct materials, factory overhead, and production supplies. After the products are finished but not yet sold, product costs are recorded as part of the inventory.
<em>Sales and administrative expenses are not tied directly to the production of a good, thus, they cannot be considered product costs.</em>
Answer:
C) Telecommuting
Explanation:
Telecommuting simply means working from your home. The internet changed our lives completely, and it is also how we work. Everyday more people are starting to work from distant locations to their "main office". This means that they can be working at their house using a computer which is connected to the company's intranet.
Some of the advantages of telecommuting is that it increases efficiency by decreasing costs (you don't have to spend time going to work and you can have your office at home), reducing employee churn rate, allowing older or disabled people to work, it is good for your health, and around 65% of telecommuters in the US have have increased their work efficiency vs. their normal office work.