Answer:
5,182 Units
Explanation:
The computation of additional units is given below:-
Operating income = Contribution Margin Per unit × Units - Fixed cost
= ($4.50 - $1.75) × 29,000 - 8,500
= $71,250
Operating income is increased by 20%
Operating income = $71,250 × 1.20
= $85,500
So, per units
$85,500 = ($4.50 - $1.75) × Units - 8,500
= $94,000 ÷ 2.75
= 34,181.82
Additional Units
= 34,181.82 - 29,000
= 5,182 Units
Answer:
Explanation:
In the given transaction, it would impact the income statement and the balance sheet in the increment manner
That means The income statement would increase by $96,000 as it reflect the wages expense in the debit side of the income statement
And, the balance sheet would increase by $96,000 as it reflect the wages payable in the credit side of the balance statement under the current liabilities side of the balance sheet
Answer:Accept Option B
Explanation: The concept of Future Value helps to to critically analyze investment opportunities so you can make decisions among options amd most importantly pick the project that yields the highest return.
The Future value of project A after discounting is $881.4 and for project B is $10,487.8
This is because of the difference in the amount invested.
The difference in return is $10,487.8-$881.4 = $9,606.4
Answer:
The answer is: ALL THE OPTIONS ARE WRONG
Explanation:
A) In the short run, the firm will shut down if the price of its product is < $12.
B) In the long run, the firm will shut down if the price of its product is < $15.
C) The minimum value of variable cost equals the variable cost of producing 1 single unit, not the variable cost of producing 200 units.
D) If the firm's fixed costs are $500, it means that they decreased. According to the question the fixed costs were $690 (230 units x $3 per unit). So if the fixed costs decrease, then the average total cost should also decrease, not increase to $16.
