Answer:
The answer is: The break even level increases in 50 units.
Explanation:
First we calculate the break even point without the increase in variable costs:
Break even point = fixed costs / contribution margin per unit
= $4,500 / ($20 - $10) = 450 units
Then we calculate the new break even point with the increase in variable costs:
New break even point = $4,500 / ($20 - $11) = 500 units
The difference between the new and old break even points is:
= 500 units - 450 units = 50 units
Answer:
The original selling price would be $ 18.99
Explanation:
Given formula is,
M = S - N
Where,
M = markdown,
S = original selling price,
N = reduced price
Here,
M = $ 11.45, N = $ 7.54,
By substituting the values,
11.45 = S - 7.54
⇒ S = 11.45 + 7.54 = 18.99
Hence, the original selling price of the house is $ 18.99
<span>tests products such as drugs and automobiles for safety</span>
Answer:
master budget is based on one specific level of production and a flexible budget can be prepared for any production level within a relevant range.
Explanation:
A master budget is a budget that contains an aggregation of smaller level budgets into an overall single budget
A flexible budget is a budget that can be adjusted based on the activity levels of a firm.
