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
motikmotik
3 years ago
10

ABC Company sells several products. Information of average revenue and costs is as follows: Selling price per unit $34 Variable

costs per unit: Direct material $6 Direct manufacturing labor $2.40 Manufacturing overhead $0.80 Selling costs $3.20 Annual fixed costs $78,000 The company sells 12,000 units at the end of the year. The contribution margin per unit is ________.
Business
1 answer:
adelina 88 [10]3 years ago
6 0

Answer:

Contribution margin per unit= $21.6

Explanation:

Giving the following information:

Selling price per unit $34

Variable costs per unit:

Direct material $6

Direct manufacturing labor $2.40

Manufacturing overhead $0.80

Selling costs $3.20

<u>The contribution margin is calculated by deducting from the selling price all the variable components:</u>

Contribution margin per unit= selling price - total unitary variable cost

Contribution margin per unit= 34 - 6 - 2.4 - 0.8 - 3.2

Contribution margin per unit= $21.6

You might be interested in
The returns on the Bledsoe Small-Cap Fund are the most volatile of all the mutual funds offered in the 401(k) plan. Why would yo
aalyn [17]

Answer:

The yields are perhaps the most unpredictable for the small cap fund since the securities in this account are the most risky. It does not mean that the fund is awful, only that the danger is greater, and thus the overall return is greater.If you are prepared to accept the extra risk in expectancy of a greater return, you should like to put money in this fund. The increased costs for this Fund will be anticipated.Small cap funds typically have higher spending due largely to greater operating costs, along with lower resource analysis.

7 0
3 years ago
The following information is available for the current year ending December 31:
Oduvanchick [21]

Answer:

Over/under allocation= $30,000 overapplied

Explanation:

Giving the following information:

Manufacturing overhead applied $150,000

The actual amount of manufacturing overhead costs 120,000

To calculate the ending balance, we need to determine whether the overhead was under or over applied:

Over/under allocation= real MOH - allocated MOH

Over/under allocation= 120,000 - 150,000= 30,000 overapplied

7 0
3 years ago
Tesla, a vehicle manufacturer, incurs the following costs. (1) Classify each cost as either a product or a period cost. If a pro
vlabodo [156]

Answer:

Product cost refers to the costs incurred to create a product. These costs include direct labor, direct materials, consumable production supplies, and factory overhead. Product cost can also be considered the cost of the labor required to deliver a service to a customer.

Examples of product costs are direct materials, direct labor, and allocated factory overhead which are directly attributable to the product.

period cost is any cost that cannot be capitalized into prepaid expenses, inventory, or fixed assets. A period cost is more closely associated with the passage of time than with a transnational event. ... Instead, it is typically included within the selling and administrative expenses section of the income statement.

Examples of period costs are general and administrative expenses, such as rent, office depreciation, office supplies, and utilities. Period costs are sometimes broken out into additional subcategories for selling activities and administrative activities

4 0
3 years ago
Which of the following taxpayers may not be able to claim full benefits for some common itemized deductions?
Readme [11.4K]

nswer:a

Explanation:

7 0
3 years ago
Suppose the economy is in long-run equilibrium. In a short span of time, there is a sharp rise in the stock market, an increase
Snowcat [4.5K]

Answer:

All of the above are possible.

Explanation:

Discussions here center on equilibrium of an economy in a long run, and here after the government activities, their is a decline in dollar value; therefore in the short run, the price level and real GDP will both rise in as much as the price level and real GDP will also both fall. It is also gathered that neither the price leave nor real GDP will change.

The transition from the short run to the long run may be done by considering some short run equilibrium that is also a long run equilibrium as to supply and demand, then comparing that state against a new short run and long run equilibrium state from a change that disturbs equilibrium, say in the sales tax rate, tracing out the short run adjustment first, then the long run adjustment.

8 0
3 years ago
Other questions:
  • Galla Inc. needs to determine a price for a new product. Galla desires a 25% markup on the total cost of the product. Galla expe
    11·1 answer
  • Monetary policy administered by the fed is the principal method of softening the effects of the business cycle because _____.
    11·2 answers
  • The units of an item available for sale during the year were as follows: Jan. 1 Inventory 2,500 units at $5 Feb. 17 Purchase 3,3
    9·1 answer
  • Rachelle purchased a warehouse 19 years ago in the month of September. The purchase price was $400,000. In May of the current ye
    10·1 answer
  • Mutual funds are the riskiest type of investment.<br> true or false
    10·2 answers
  • Miller Mining, a calendar-year corporation, purchased the rights to a copper mine on July 1, Year 1. Of the total purchase price
    5·1 answer
  • Why is price competition more of a factor in internet sales than other forms of retail?​
    9·1 answer
  • Magnira Corp. is an apparel company. After a slow start, it saw a steep rise in the number of its customers and a remarkable inc
    11·1 answer
  • Predetermined Overhead Rate, Application of Overhead to Jobs, Job Cost
    5·1 answer
  • Use your notes to explain how prices affect demand.
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!