1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Illusion [34]
3 years ago
15

4. The following is Arkadia Corporation's contribution format income statement for last month: Sales $1,200,000 Variable expense

s 800,000 Contribution margin 400,000 Fixed expenses 300,000 Net operating income $100,000 The company has no beginning or ending inventories and produced and sold 20,000 units during the month. (Each requirement is worth 3 points for a total of 18 points) Required: a. What is the company's contribution margin ratio
Business
1 answer:
Assoli18 [71]3 years ago
3 0

Answer:

Missing word <em>"sold 20,000 units during the month at a sales price of $60 per unit.. b. What is the company's degree of operating leverage? c. How many units would the company have to sell to achieve a desired operating income before taxes of $150,000?"</em>

<em />

a. Contribution Margin Ratio = Contribution margin / Sales

= 400000 / 1200000

= 0.3333

= 33.33%

b. Operating Leverage = Contribution / Net Income

= 400000 / 100000

= 4 Times

c. Sale to achieve desired profit = (Fixed Cost + Desired Profit) / Contribution Margin Ratio

= (300000 + 150000) / 0.3333

= $1350000

Sales in Units = $1350000 / 60 units = 22500 units

You might be interested in
You'd like to show your ads to users searching for custom t-shirts. which targeting method can you use?
Oliga [24]

Keyword targeting. You want to target users who are searching for exactly what you have to offer, and you can learn this by their key words.

6 0
3 years ago
Muller’s Investigative Services has stock trading at $80 per share. The stock is expected to have a year-end dividend of $4 per
Natalija [7]

Answer:

The forecast of growth is 9%

Explanation:

The dividend discount model is used to discount future dividends at the cost of equity to find the Value of the stock and is appropriate to use in this instance

SP = D1/r - g

What we have D1 $4, SP $80, r 14% we need to find the forecast of growth

Plug in the values in the formula

80 = 4/ 0.14 - g

80(0.14-g) = 4

80(0.14-g)/80 = 4/80

0.14 - g = 4/80

-g = 4/80 - 0.14 = -0.09

g = 0.09/9%

4 0
3 years ago
Kermit bought a production line 5 years ago for $35,000. At that time it was estimated to have a service life of 10 years and sa
andre [41]

Answer: The defender must be analyzed using a first cost of _____$12,000______ and a salvage value of _____$6,000_______ for ____5______ years. The challenger must be analyzed using a first cost of ____$95,000______ and a salvage value of _____$15,000_____ for _____15____ years.

Explanation:

The defender would first be analyzed using the first cost of the machine which was $12,000 and it salvaged value of $6,000 for a periodic of 5years.

While the challenger would be analyzed using using a first cost of $95,000 and a salvaged value of $15,000 over a period of 15years.

7 0
4 years ago
Brad is a transportation coordinator for volkswagen of north america. in order to move a large order of vehicles from a plant in
Soloha48 [4]
The combining and coordinating of these two modes of transportation in order to take advantage of benefits offered by each of the different types of carriers is called i<span>ntermodal transportation.
</span><span>Another term used to denote this transportation which involves using two or more modes of </span>transportation , <span>such as truck and rail, </span>in a journey is mixed-mode commuting. 
5 0
3 years ago
A(n) __________ is a marketing channel containing one or more intermediary levels.
solmaris [256]

The correct answer is an indirect marketing channel. An indirect marketing channel is being defined as a way of having a distribution channel that likely relies on the intermediaries in order to perform almost all of the distribution functions by which is also known as the whole sale distribution.

8 0
3 years ago
Other questions:
  • Paige is 64 years old and would like to retire from her job at a large accounting firm. She, however, is concerned about health
    11·1 answer
  • App Holdings is expected to pay dividends of $1.50 every six months for the next three years. If the current price of App Holdin
    8·1 answer
  • What are four social responsibility issues?
    7·1 answer
  • If the economy is at equilibrium above potential output:
    6·1 answer
  • WACKO Ltd. has $30 million in debt, equity of $55 million, an after-tax cost of debt of 6 percent, a cost of equity of 9 percent
    14·1 answer
  • Fowler Company is a priceminustaker and uses target pricing. Refer to the following​ information: Production volume 602 comma 00
    6·2 answers
  • Marlin Corporation reported pretax book income of $1,003,000. During the current year, the net reserve for warranties increased
    10·2 answers
  • The Ace Battery Company has forecast its sales in units as follows: January February March April 1,200 May 1,050 June 1,000 July
    10·1 answer
  • How would a list of personal property and its worth help when
    6·2 answers
  • Tabitha just had a conversation with her boss in which he told her that there would be some future layoffs due to budget cuts. T
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!