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OlgaM077 [116]
3 years ago
8

22) BS Company is considering eliminating the following product line: Product AXP Sales $ 80,000 Less variable costs: Raw materi

als 50,000 Direct labor 10,000 Contribution margin $ 20,000 Less fixed costs: Facility-level costs allocated to products 30,000 Profit (Loss) $ (10,000 ) What amount of cost is avoidable if BS outsources production of this product
Business
1 answer:
Naily [24]3 years ago
8 0

Answer:

Avoidable costs= $60,000

Explanation:

Giving the following formula:

Raw materials 50,000

Direct labor 10,000

Facility-level costs allocated to products 30,000

<u>We were not provided with information regarding the fixed allocated costs. If none of the fixed allocated costs are avoidable, only the variable cost will not be incurred if the product is eliminated.</u>

Avoidable costs= $60,000

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3 years ago
As Bart Brownlee approached retirement, he decided the time had come to invest some of his nest egg in a conservative fund. He c
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3 years ago
On June 30, 2018, Baird Company’s total current assets were $502,000 and its total current liabilities were $274,000. On July 1,
amm1812

Answer:

Before issuing the note

Current ratio

= <u>Current assets</u>

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Current ratio

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7 0
3 years ago
A truck rental company rents a moving truck for one day by charging $ 34 plus $ 0.05 per mile. Write a linear equation that rela
lara [203]

Answer:

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Explanation:

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C = 0.05x + 34

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3 years ago
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4 0
4 years ago
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