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
AlekseyPX
3 years ago
5

The following information relates to the only product sold by Mastrolia Manufacturing. Sales price per unit $ 45 Variable cost p

er unit 27 Fixed costs per year 252,000 a. Compute the contribution margin ratio and the dollar sales volume required to break even. b. Assuming that the company sells 20,000 units during the current year, compute the margin of safety (in dollars).
Business
1 answer:
Oduvanchick [21]3 years ago
8 0

Answer:

a. 40 % and $630,000

b. $ 270,000

Explanation:

The contribution margin ratio = Contribution ÷ Sales

The dollar sales volume required to break even = Fixed Cost ÷ contribution margin ratio

the margin of safety (in dollars) - company sells 20,000 units = Expected Sales - Break even Sales  

You might be interested in
From an economic point of view, which approach to controlling pollution is most efficient?
Elenna [48]

Answer:

B. Reduce pollution as long as the additional benefits are greater than the additional costs.

Explanation:

8 0
3 years ago
Suppose you know a company's stock currently sells for $90 per share and the required return on the stock is 14 percent. You als
mina [271]

Answer:

$5.89

Explanation:

The computation of current dividend per share is shown below:-

(Dividend in One Year) ÷ Current Price

= 14% ÷ 2

= 7%

Dividend = Dividend yield × Stock currently sold per share

= 0.07 × $90

= 6.3

Current dividend per share = Dividend ÷ (1 + Dividend yield)

= 6.3 ÷ (1 + 0.07)

=  6.3 ÷ 1.07

= $5.89

Therefore for computing the current dividend per share we simply applied the above formula.

6 0
3 years ago
What is one force facing U.S businesses today ?
Rashid [163]
Employee healthcare , hiring employee increeccing profit
5 0
3 years ago
Inkal Co. was formed on January 1, 2017 as a wholly owned subsidiary of a US corporation. Sinkal's functional currency was the s
defon

Answer:

It would decrease the net assets by $60,800

Explanation:

The computation of the translation adjustment for 2017 is shown below:

For common stock

= Issued amount × (revised exchange rate - exchange rate)

= $1,000,000 × (0.42 - 0.48)

= -$60,000

For dividend

= Dividend paid × (revised exchange rate - exchange rate)

= $20,000 × (0.42 - 0.46)

= -$800

For net income

= Net income × (revised exchange rate - exchange rate)

= $80,000 × (0.42 - 0.42)

= $0

So, it would decrease the net assets by $60,800 ($60,000 + $800)

7 0
4 years ago
A _______ is a long period of rising stock prices.
Alecsey [184]
A bull market is a long period of rising stock prices. Bull market is a part of financial market that is being invested for a long period of time and is expected to gain a higher rise in the price.
3 0
3 years ago
Read 2 more answers
Other questions:
  • Tom oversees the logistics department for a holiday resort in Virginia. He has created a plan to bring in customers directly fro
    5·2 answers
  • Tomas increased his consumption of potato chips when the price of pistachios increased. For Tomas, potato chips and pistachios a
    6·2 answers
  • An open corporation does not allow the sale of their stock to the general public, only to investment capital brokers.
    12·1 answer
  • Recently, a senior software engineer complained that his boss was always in the "command and control" mode: "He doesn't trust us
    14·1 answer
  • The food that you eat travels from your mouth, down your esophagus, into your stomach, and through your small and large intestin
    10·1 answer
  • IT Support Services is a technology company that offers many IT services in highly populated southern Maine. The company's servi
    11·1 answer
  • If conversion costs are added evenly throughout the production process and the unit have made it 50% of the way through the prod
    12·1 answer
  • An investor enters into a short oil futures contract when the futures price is $15.5 per barrel. The contract size of 100 barrel
    6·1 answer
  • Seven years ago, Goodwynn & Wolf Incorporated sold a 20-year bond issue with a 14% annual coupon rate and a 9% call premium.
    5·1 answer
  • Q#1. How would you describe the word “CAREER” Explain in 5-7 sentences.
    11·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!