Holly's Ham, Inc. sells hams during the major holiday seasons. During the current year 11,000 hams were sold resulting in $220,000 of sales revenue, $55,000 of variable costs, and $24,000 of fixed cost. The break-even point in sales dollars is: A. $320,000 B. $16,000 C. $32,000 D. $61,740
the cost of hot dog buns at National Coney Island would be classified as a: fixed cost, variable cost, labor cost, or none of the above?
An inaccurate cost function may result in:
A. |
Evaluating a weak manager as providing strong performance |
|
B. |
Promoting a product that is actually less profitable than budgeted |
|
C. |
Predicting total costs that are too low |
|
D. |
All of the above |
Break even sales = Fixed cost/Contribution margin ratio Selling price per unit = 220,000/11,000 = 20 Variable cost per unit = 55,000/11,000 = 5 Contribution margin ratio = (20-5)/20 = 75% = 24,000/75% = 32,000 Option C |
2. Variable costs |
3. Option D |
Holly's Ham, Inc. sells hams during the major holiday seasons. During the current year 11,000 hams...
8. JAG Corp. sells software during the recruiting seasons. During the current year, 11,000 software units were sold resulting in $440,000 of sales revenue, $110,000 of variable costs, and $48,000 of fixed costs. If sales increase by $60,000, operating income will increase by a. $40,000 b. $45,000 c. $60,000 d. $80,000
Tally Corp. sells software during the recruiting seasons. During the current year, 10,000 software packages were sold resulting in $470,000 of sales revenue, $130,000 of variable costs, and $48,000 of fixed costs.If sales increase by $80,000, operating income will increase by ________. (Round interim calculations to two decimal places and the final answer to the nearest whole dollar.) A.$48,000 B.$30,588 C.$57,872 D.$32,000 While−You−Train is a not−for−profit organization that aids the unemployed by supplementing their incomes by $7,000 annually, while they...
5. Assume that Cane expects to produce and sell 105,000 Alphas
during the current year. One of Cane's sales representatives has
found a new customer who is willing to buy 20,000 additional Alphas
for a price of $120 per unit; however pursuing this opportunity
will decrease Alpha sales to regular customers by 9,000 units.
a. What is the financial advantage (disadvantage) of accepting
the new customer’s order?
b. Based on your calculations above should the special order be
accepted?
Required...
5. Assume that Cane expects to produce and sell 111,000 Alphas
during the current year. One of Cane's sales representatives has
found a new customer who is willing to buy 26,000 additional Alphas
for a price of $144 per unit; however pursuing this opportunity
will decrease Alpha sales to regular customers by 12,000 units.
a. What is the financial advantage (disadvantage) of accepting
the new customer’s order?
b. Based on your calculations above should the special order be
accepte
6....