answer.
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
morpeh [17]
1 year ago
9

All other things being equal, a company that sells multiple products should attempt to structure its sales mix so the greatest p

ortion of the mix is composed of those products with the highest _______.
Business
1 answer:
elena-14-01-66 [18.8K]1 year ago
8 0

Answer: contribution margin

Explanation:

The contribution margin is the incremental money that is generated for each product or unit sold after the variable portion of the costs of the firm's has been deducted. The contribution margin is calculated as the subtraction of the variable cost per unit from the selling price per unit.

The contribution margin shows how the contribution of a particular product to the profit of the company. It shows the profit potential of a product that is offered by a company and also shows the number of sales that can help to cover the fixed cost of the company. The remaining revenue gotten after the fixed cost has been covered is the profit generated.

Contribution margin= Sales revenue - Variable cost

You might be interested in
Match each type of GDP with its definition. the market value of all final goods and services produced by resources owned by citi
Firdavs [7]

Answer:

The market value of all final goods and services produced by resources owned by citizens of a particular country in a given year gross GDP

GDP adjusted to base year prices <em>real GDP</em>

GDP divided by population  GDP per capita

GDP adjusted for differences in the cost of living in different countries

<em>GDP power purchase parity</em>

the market value of all final goods and services produced by resources located in a particular country in a given year <em>gross national product GNP</em>

<em></em>

Explanation:

We are mathcing the definition with the term so it is self-explanatory

6 0
1 year ago
The manufacturing cost of an air-condioning unit is $544, and the full-replacement extended warranty costs $113. If the manufact
Likurg_2 [28]

Answer:

$11,457,522

Explanation:

If the full extended warranty costs are $113 per unit replaced, and 20% of the 506,970 units sold will be replaced, then the total warranty costs are:

total warranty costs = total number of units sold x percentage of units that need warranty replacement x cost per unit replaced

total warranty costs = 506,970 units x 20% x $113 per unit = $11,457,52

7 0
2 years ago
Read 2 more answers
​vinyl lynings, inc. contracts to resurface the insides of the pools at waterworld park. vinyl lynings knows that without the re
ser-zykov [4K]

They can recover the lost revenue that they would have expected to earn if their park had been open on time.

4 0
2 years ago
what type of relationship has probably been formed if two or more parties agree to combine their efforts for a single business t
Tamiku [17]

Answer:

A joint venture has been formed.

Explanation:

A joint venture (JV) relationship is a business arrangement in which two or more parties agree to combine their resources and efforts for the purpose of accomplishing a specific task or a single business transaction. This task or transaction can be a new business project or any other business activity.  As they are jointly engaged in the business transaction, they also agree to share the profits (rewards) and losses (risks) arising from the transaction jointly.

7 0
1 year ago
Astro Co. sold 20,000 units of its only product and incurred a $50,000 loss (ignoring taxes) for the current year as shown here.
Alexandra [31]

Answer:

Required 1.

Break even point (dollar sales) =   $750,000

Required 2.

Break even point (dollar sales) = $1,250,000

Required 3.

ASTRO COMPANY

Forecasted Contribution Margin Income Statement

For Year Ended December 31, 2016

Sales                             $ 1,000,000

Variable costs               ($ 400,000 )

Contribution margin      $ 600,000

Fixed costs                    ($ 450,000 )

Net loss                           $ 150,000

Required 4.

Sales to meet target profit (dollar sales) = $1,833,333

Sales to meet target profit (unit sales) = 73,334

Explanation:

Break even point is the level of activity where a Company neither makes a profit nor a loss.

<em>Break even point (dollar sales) = Fixed Cost / Contribution Margin Ratio</em>

Where,

Contribution Margin Ratio = Contribution / Sales

                                           = $ 200,000 / $ 1,000,000

                                           = 0.20

Therefore,

Break even point (dollar sales) = $250,000 / 0.20

                                                   = $1,250,000

<u>Assuming the machine is installed</u>

Contribution Margin Ratio = ($ 1,000,000 - $400,000) / $ 1,000,000

                                           = $600,000 / $1,000,000

                                           = 0.60

Therefore,

Break even point (dollar sales) = ($250,000 + $200,000) / 0.60

                                                   = $750,000

Sales to meet target profit of $200,000

Sales to meet target profit (dollar sales) = Fixed Cost + Target Profit  / Contribution Margin Ratio

                                                                  = ($450,000 + $200,000) / 0.60

                                                                  = $1,833,333

Sales to meet target profit (unit sales) = $1,833,333 / $25

                                                               = 73,334

                                                                 

4 0
2 years ago
Other questions:
  • A(n) _____ has a set payment schedule to pay off the debt.
    5·2 answers
  • Ratchet Manufacturing anticipates total sales for August, September, and October of $200,000, $210,000, and $220,500 respectivel
    6·1 answer
  • A company received a bank statement with a balance of $6,100. Reconciling items included a bookkeeper error of $400—a $400 check
    12·1 answer
  • During its most recent fiscal year, Raphael Enterprises sold 380,000 electric screwdrivers at a price of $20.40 each. Fixed cost
    7·1 answer
  • A partial listing of costs incurred at Archut Corporation during September appears below:Direct materials $ 113,000Utilities, fa
    12·1 answer
  • At the end of Year 2, retained earnings for the Baker Company was $1,850. Revenue earned by the company in Year 2 was $2,100, ex
    6·1 answer
  • Coast-to-Coast Inc. is considering the purchase of an additional delivery vehicle for $70,000 on January 1, 20Y1. The truck is e
    6·1 answer
  • Record and analyze installment notes (LO9-2)
    9·1 answer
  • Cecil Jameson, Attorney-at-Law, is a proprietorship owned and operated by Cecil Jameson. On July 1, 2007, Cecil Jameson, Attorne
    10·1 answer
  • QUESTION 1
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!