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22)Craylon Manufacturing produces a single product that sells for $100. Variable costs per unit equal $25. The company expects total fixed costs to be $60,000

22)Craylon Manufacturing produces a single product that sells for $100. Variable costs per unit equal $25. The company expects total fixed costs to be $60,000 for the next month at the projected sales level of 1,000 units. the operating leverage at that level of sales is :

Select one:

a. 5

b. 15,000

c. 2

d. 1.5

23)Palestine Company has a sales budget of 30,000 finished units for the next period. The beginning finished good inventory 5,000 and the target ending finished goods inventory 10,000 units at the end of the period . It takes 2 units of direct materials to make one unit of finished product. The company has an inventory of 20,000 units of direct materials at the beginning of the period and has a target ending inventory of 30,000 units at the end of period How many units of direct materials should be purchased during the next period?

Select one:

a. 55,000 units

b. 50,000 units

c. 40,000 units

d. 80,000 units

24)X Company has a sales budget of 30,000 finished units for the next period. The beginning finished good inventory 5,000 and the target ending finished goods inventory 4,000 units . It takes 1.5 hours of direct labor to make one unit of finished product and the budgeted labor rate is $3 per hour. what is The budgeted direct labor cost for the next period?

Select one:

a. 130,500$

b. 139,500$

c. 138,000$

d. 140,000 $

25)Tony Manufacturing produces a single product that sells for $80. Variable costs per unit equal $30. The company expects total fixed costs to be $78,000 for the next month at the projected sales level of 2,500units. In an attempt to improve performance, management is considering a number of alternative actions. Each situation is to be evaluated separately. Suppose management believes that a $77,500 increase in the monthly advertising expense will result in a considerable increase in sales. Sales must increase by ________ to justify this additional expenditure

Select one:

a. 1,339 units

b. 1,698 units

c. 1,500

d. 1,550 units

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