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xenn [34]
3 years ago
5

The systematic examination of the relationships among selling prices, volume of sales and production, costs, and profits is term

ed: Group of answer choices contribution margin analysis cost-volume-profit analysis budgetary analysis gross profit analysis
Business
1 answer:
Nostrana [21]3 years ago
8 0

Answer:

cost-volume-profit analysis

Explanation:

Cost-volume-profit analysis also known as breakeven analysis can be defined as a financial accounting method or technique used for determining the number of units a business firm must sell at a specific price so as to cover all of its costs. It is a concept that allow business owners or financial experts to determine and know what they need to sell either on a monthly or annual (yearly) basis, in order to be able to cover the costs of doing the business.

Basically, it helps us to determine the amount of revenue required for the smooth operation of a business, amount of money needed to cover both fixed and variable costs. Using the breakeven analysis, production costs can be categorized as;

1. Variable costs: these are costs that usually change with respect to changes in the level of production or output. Examples are direct labor, maintenance of equipment or machines, raw materials costs etc.

2. Fixed costs: these are the costs which are not directly related to the level of production or not affected by the quantity of output in an organization. Examples are rent, depreciation, administrative cost, research and development costs, marketing costs etc.

Generally, basic break-even analysis is typically based on the principle that variable costs and revenues generated by a business firm or organization, increase in direct proportion to the volume of production i.e as the volume of production of a business firm increase, its variable cost and revenue generated also increases.

Hence, a cost-volume-profit analysis is mainly used by businesses or organizations to determine how changes in differing levels of activities such as costs and volume affect a company's operating income and net income.

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On January 1, 20X9, Pirate Corporation acquired 80 percent of Sea-Gull Company's common stock for $160,000 cash. The fair value
Ainat [17]

Answer:

Consider the following calculations. The answer is $135,000.

Explanation:

Book value of inventory of acquiring company before combination = $90,000

Fair value of acquired inventory = $45,000

Amount of total inventory immediately after business combination = $90,000 + $45,000 = $135,000

Hence, answer is $135,000

7 0
3 years ago
Scarbrough Corp. factored $600,000 of accounts receivable to Duff Corp. on October 1, year 2. Control was surrendered by Scarbro
Illusion [34]

Answer:

c.$538,685

Explanation:

Calculation to determine what Scarbrough will receive and record cash of

Receivables $600,000

Less: Amount of the hold back ($30,000)

($600,000 x 5%)

Less: Withheld as fee income ($18,000)

($600,000 x 3%)

Less: Withheld as interest expense ($13,315)

($600,000 × 15% × 54/365)

Cash $538,685

Therefore Scarbrough will receive and record cash of: $538,685

5 0
3 years ago
Hey how do you earn money? If you even do.
sweet [91]
Well, when I am really desperate I ask around for yard work and such around my neighborhood. I am currently also trying to get my first job at my local movie theater which pays minimum wage (in michigan its 8.90) and eventually it goes up to 9.00
I want to get a summer job for a gaming laptop.
7 0
2 years ago
Read 2 more answers
Blossom Company incurs these expenditures in purchasing a truck: cash price $26,470, accident insurance (during use) $2,080, sal
asambeis [7]

Answer:

$30,320

Explanation:

With regards to the above, the cost of the truck would be

= Cash price $26,470 + Sales tax $1,660 + Painting and lettering $2,190

= $30,320

7 0
2 years ago
Which of the following will be accomplished by efficient allocations of the factors of production
s2008m [1.1K]
The answer to your question is fulfilling many needs and wants of society.

Hope I helped you, if you have any questions please let me know!
5 0
3 years ago
Read 2 more answers
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