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Tresset [83]
3 years ago
10

Corporation has two divisions, East and West. The following information was taken from last year's income statement segmented by

division:
East Division West Division Sales
$3,700,000 $2,300,000
Contribution margin $1,650,000 $1,000,000
Divisional segment margin $1,100,000 $350,000
Net operating income last year for SegR-7268 Corporation was $600,000. In last year's income statement segmented by division, what were SegR-7268's total common fixed expenses?
a) $2,050,000
b) $850,000
c) $2,300,000
d) $1,200,000
Business
1 answer:
Lapatulllka [165]3 years ago
3 0

Answer:

b. $850,000

Explanation:

Divisional Segment Margin = $1,100,000 + $350,000

Divisional Segment Margin = $1,450,000

Net Operating Income = $600,000

Common fixed expenses = Divisional Segment Margin - Net Operating Income

Common fixed expenses = $1,450,000 - $600,000

Common fixed expenses = $850,000

So, SegR-7268's total common fixed expenses will be $850,000.

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Answer:

$604,035

Explanation:

The computation of the direct materials purchases budget is shown below:-

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Add: Ending Inventory                              125,00 Pounds

Total Units Available                              503125 Pounds

Less: Beginning Inventory                         16,000 Pounds

Total Pounds to be Purchased                 487,125 Pounds

Unit Price                                              $1.24 per Pounds

Total Direct Materials Purchased              $604,035

(487,125 × $1.24)

8 0
3 years ago
At higher prices, the price elasticity of demand is likely to be ________, whereas it is likely to be ________ at lower prices.
Black_prince [1.1K]

Answer:

2. elastic; inelastic

Explanation:

The price elasticity of demand, the amount consumers demand from a particular price are different for each good or service, and when the price changes, the response shown as the change in the quantity requested is different for each good (even at a different price level for one good).

In the face of price changes, the severity (or degree of sensitivity) of the reaction of consumers in the form of changing the amount they buy against this change is measured by the price elasticity of the demand, which is also called demand elasticity. This flexibility is expressed by a coefficient.

The price elasticity coefficient of demand is equal to the ratio of the percentage change in the quantity demanded to the percentage change in price in the face of a small change in price.

The Price elasticity will be elastic when it equals or more than 1, if not it will be inelastic with the amount of less than 1.

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On January 15, 2020, Dolan Corp. adopted a plan to accumulate funds for environmental improvements beginning July 1, 2024, at an
Andreyy89

Answer:

Annual deposit (PMT) = $1,567,060.39

Explanation:

Given:

Future value of annuity due = $8,000,000

Rate of interest(r) = 10% = 0.1

Number of year (n) = 4 year

Annual deposit (PMT) = ?

Computation of annual deposit :

Future\ value\ of\ annuity\ due = PMT [\frac{(1+r)^n-1}{r} ](1+r)\\\\8,000,000 = PMT [\frac{(1+0.1)^4-1}{0.1} ](1+0.1)\\\\8,000,000 = PMT [\frac{(1.1)^4-1}{0.1} ](1.1)\\\\8,000,000 = PMT [\frac{(0.4641}{0.1} ](1.1)\\\\8,000,000 = PMT [5.1051]\\PMT = 1,567,060.39

Annual deposit (PMT) = $1,567,060.39

6 0
3 years ago
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