Answer:
Explanation:
Last year Current year
Selling Price 10 10
Varaible Price 5 6
Contribution Margin 5 4
Break even is the point where total cost is equal to total revenue mean no profit and loss.
company earns the contribution margin after covering the variable cost, now only fix cost remains for break even.
Break Even using FIFO method : first In first out system
Fix Cost = 86000
contribution from opening units(6000*5) = 30000
Remaining Fix cost that should be Covered from
current year products = 56000
Units to be sold for break-even ( 56000/4) = 14000
so we have break even units 6000+14000 = 20000
Fix cost = -86000
Opening 6000*5 = 30000
Current 14000*4 = 56000
Profit = 0
Break Even using LIFO method : Last in first out
Fix Cost = 86000
Break even = Fix Cost / Contribution margin
Break even = 86000/4 =21500
current production is 24000 which is higher than break even units so we can cover the fix cost from current year production because company is using lifo method. we do not need opening units for the break even.
Answer:
8,955 units
Explanation:
Given that,
Sales in July = 9,500
Sales in August = 10,200
Sales in September = 6,050
Ending finished goods inventory = 30% of the next month's sale
Budgeted production units for August:
= Sales + Closing inventory - Opening inventory
= Sales + (30% of September sales) - (30% of August sales)
= 10,200 + (0.3 × 6,050) - (0.3 × 10,200)
= 10,200 + 1,815 - $3,060
= 8,955 units
Answer:
b. annuities due
Explanation:
Annuities due -
It refers to the amount which need to be paid at the regular interval of time , just before the beginning of the new phase , is referred to as annuities due .
The most common example of annuities due is rent , which need to be paid after every month in the starting .
Hence , from the given information of the question ,
The correct option is annuities due.
Answer:
salary is a lump sum for work and fixed rate is a fixed rate that changes with amount of hours worked.
Explanation:
salary is a lump sum for work and fixed rate is a fixed rate that changes with amount of hours worked.
Brainliest appreciated!
Answer:
Explanation:
Operating Investing Financing Cycle
3751 (2404) 1381 Growth
1102 2054 (759) Maturity
20 (480) 926 Growth
(2580) (4200) 7508 Introduction
(409) 5581 (2356) Declining
2281 (3451) 1957 Growth
6385 3272 (1958) Maturity
(365) (1678) (3478) Declining
In the introduction phase , cash flow from the operating and investing activities are negative as the company generate cash for investment through financing activities for operation
In the growth phase , the activities begin to pay off gradually while investing is still on simultaneously as operating activities generate a positive cash flow , investing negative and finance positive
In the maturity phase , company start to pay offset debt and buy back the stock as the business appears stable. Operating and financing activities generate a positive cash flow and financing negative.
In declining stage ,sales begin to fall and operating activities nosedive , investing may be positive as assets are being sold off and financing activities negative.
