Answer:
D) ($9000)
Explanation:
We calculate the potential advantage and disadvantage by comparing the profits from the two approaches
Approach 1, no processing
Profits = (13*9000) - 9600 = $107,400
Approach 2, with processing
Profits = (18*9000) - (9600 + 54000)
Profits = $98,400
Total disadvantage of additional processing is,
Disadvantage = 107400-98400
Disadvantage = $9000 or ($9000)
Hope that helps.
Explanation:
Explanation: The formula is ATC = AFC + AVC. Use this formula. It will be useful for you
Answer:
D. 34.00%
Explanation:
The computation of the new contribution margin is shown below:
As we know that
Contribution Margin = Net Sales Revenue - Variable Expenses
where,
Net sales revenue is
= 604 units × $32.5
= $19,630
The variable expense = Total material cost + total labor cost
Total Material Cost = 604 units × $14.36 = $8,673.44
Total Labor Cost = 604 units × $7.09 = $4,282.36
So, the variable expense is
= $8,673.44 + $4,282.36
= $12,955.8
Now
Contribution margin = $19,630 - $12,955.8 = $6,674.2
And,
Contribution margin ratio = Contribution margin ÷ net sales
So, Contribution margin = $6,674.2 ÷ $19,630
= 34.00%
Answer:
$30.1
Explanation:
Adjusted basis refers to the net value of an asset after considering depreciation and capital investments. It is the net value of an asset.
Adjusted taxable income is the income after adjusting for depreciation and interest.
For a sole proprietorship, the income of the business is the same as owners' income.
For Renee, adjusted taxable income will be,
Total revenue= $85M
Net expenses equal to total revenue minus depreciation minus interest paid
=$78.1, - $10.1 - $12.7
=$54.9
Adjusted taxable income= Total revenue - net expenses
= $85 - $54.9
=$30.1