Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1- Lucy Treasures operates a chain of gift shops. The company pays $5,000 of rent expense per month for each shop. The managers each shop

1- Lucy Treasures operates a chain of gift shops. The company pays $5,000 of rent expense per month for each shop. The managers each shop are paid a salary of 3,000 per month and all other employees are paid on an hourly basis. Relative to the number of shops the sost of rent is which kind ? a) fixed cost b) variable cost c) mixed cost d) opportunity cost

2- Rand Corporation sells perfume bottlesVariable costs for this product are $30 per unit, and the sales price per unit is 50 per unit Total fixed costs amount to $100,000. How many perfume bottles does Rand need to sell achieve a desired profit of $50,0007 a) 5000 units b) 7500 units c) 1000 units d) 2000 units

3- Mendicino Company currently produces and sells 30,000 units of product at a selling price of $12. The product has variable costs of $6 per unit and fixed costs of \$40,000 . The company currently earns a total contribution margin of a) $280,000 b)$200,000 c) $240,000 d) $180,000

4- Company F one product that sales price of $20 per unit, variable costs of 12$ per unit, and total fixed costs of $200,000 . what is the contribution margin ratio ? a)40% b)60 c) 50% d) 66%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Principles Managerial Concepts

Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Kinnear, Joan E. Barlow

7th Canadian Edition

1119310296, 978-1119310297

More Books

Students also viewed these Accounting questions

Question

Define leadership and explain its importance for organizations.

Answered: 1 week ago

Question

What was the positive value of Max Weber's model of "bureaucracy?"

Answered: 1 week ago