Answer:
$11,760
Explanation:
The sales less the variable cost gives the contribution margin. The contribution margin less the fixed cost gives the net operating income/profit.
Without the new offer
Profit = 5000($29 - $15) - $20,900
= $70,000 - $20,900
= $49,100
For the new order a variable selling cost of $2 per unit would be eliminated, the contribution of the order will be
= 1680($20 - $15 + $2)
= 1680 * $7
= $11,760
This is the differential effect on profit.
Answer:
c. It hopes to make more money available for loans
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Answer:
$470
Explanation:
The calculation of the economy income is given below:
Since $1,690 spend on goods and then he decided to purchase for $470 in order to generate it
So here we can see that there is one and only economic activity that took place at the present quarter that is of $470
Therefore the economy income is $470
The answer could be any of these. This is not a fair question.
I believe that question is trying to get you to lean towards answer C because theoretically your family would know your character better than a bank might.
Answer:
b. A manufacturing company will normally have raw materials, work in process, and finished goods as inventory account classifications.
Explanation:
A manufacturing unit will generally follow, three step completion of goods while manufacturing, as in primary state the company requires raw material for processing it and making it finished good.
After that the goods are processed and as all goods require some further time to process, some goods remain in between some stage called, work in process, where some processing is done, and some is left.
The last stage is to become a finished good, once the goods are completed, it is called finished goods and then goods are aimed to be sold.
Therefore, correct statement is statement B.