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BigorU [14]
2 years ago
6

If variable cost of goods sold totaled $90,000 for the year (18,000 units at $5.00 each) and the planned variable cost of goods

sold totaled $86,400 (16,000 units at $5.40 each), the effect of the quantity factor on the change in contribution margin is:
Business
1 answer:
IrinaK [193]2 years ago
7 0

Answer:

$10,800

Explanation:

The computation of effect on the quantity factor is shown below:-

Actual variable cost = 18,000 × $5

= $90,000

Planned variable cost = 16,000 × $5.40

= $86,400

Total change in contribution margin = Actual variable cost - Planned variable cost

$90,000 - $86,400

= $3,600

Change in quantity = 18,000 - 16,000

= 2,000 units

Effect on the quantity factor = Change in quantity × Cost per unit

= 2,000 units × $5.40

= $10,800

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Rolf Steps is the production manager for a local manufacturing firm. This company produces staplers and other items. The annual
Mumz [18]

Answer:

His maximum inventory level would be 180 units

Explanation:

According to the given data we have the following:

daily demand rate , d=1,600/200=8 units;

daily production rate p=80 units;

C0=25 dollar

Cc=2 dollar

Therefore, Qopt=√2*25*1,600/(2(1-8/80))

Qopt=210.82

But here Rolf decide to produce 200 units each time he started production, hence fix Q=200

Therefore, Maximum inventory level=200*(1-8/80)=200*0.9

Maximum inventory level=180 units

His maximum inventory level would be 180 units

8 0
2 years ago
Based on a predicted level of production and sales of 12,000 units, a company anticipates reporting operating income of $26,000
dexar [7]

Answer:

Fixed Cost = $10,000

Variable Costs = $90,000

Explanation:

Variable Cost per unit = $72,000 ÷ 12,000

                                      = $6

Variable Costs at 15,000 units = $6 x 15,000

                                                   = $90,000

Fixed Cost (given) = $10,000

8 0
1 year ago
Skip's sealcoating service increased its total monthly revenue from $12,000 to $13,500 when it raised the price of driveway repa
inna [77]

a. 1.12.

re. 2.11................

7 0
2 years ago
Mr. jernigan owns a piece of land on which he grows corn. corn production annually requires ​$2 comma 0002,000 in​ seed, ​$3 com
nika2105 [10]

Answer:

economic costs = $56,000

Explanation:

given data

seeds = $2,000

fertilizer = $3,000

pesticides =  $6,000

earning ​= $45,000

solution

total Accounting cost of Mr. jernigan is

total Accounting cost of Mr. jernigan = $2,000  + $3,000  + $6,000

total Accounting cost of Mr. jernigan = $11,000

and

economic costs = accounting costs + opportunity costs

economic costs = $11,000 + $45,000

economic costs = $56,000

7 0
2 years ago
According to Twitter’s amended S-1 filed November 4, 2013, what were the estimated amounts of net proceeds to be received by the
Ivenika [448]

Answer:

$1.62billion ; $1.82billion

Explanation:

According to  amended S-1 filed November 4, 2013, the estimated amounts of net proceeds to be received by the company after the offering, excluding and including the over-allotment option is $1.62billion or approximately $1.86billion if the underwriters fully exercise their option to purchase additional stock. The standard initial public offering price is assumed to be $24 per share.

goes on to explain that the main reason for this offering is to optimize their financial flexibility and capitalization, as well as to make their common stock available to the public. Net proceeds from the offering would also be fully utilized in facilitating their working expenses as well as funding business and taxation expenses.

3 0
2 years ago
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