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33) Sonoma Winery has fixed costs of $12,000 per year. Its warehouse sells wine with variable costs of 80% of its unit selling price. How
33) Sonoma Winery has fixed costs of $12,000 per year. Its warehouse sells wine with variable costs of 80% of its unit selling price. How much in sales does Sonoma need to break even per year? Answer A. $15,000 B. $2,400 C. $60,000 D. $9,600 34)ROSS COMPANY MANUFACTURES MOUNTAIN BIKES THAT SELLS FOR $650 EACH. TOTAL FIXED COSTS AMOUNT TO $280,000. THE CONTRIBUTION RATIO IS 35%. IF IRS IS TO BE PAID 35%, N.C. TO GET 15%, AND MECK IS TO GET 5%, COMPUTE THE NUMBER OF BIKES TO BE SOLD, N.C. TAX, AND TOTAL SALES. Answer A. 2,190 BIKES,$32,727 TO NC, AND $SALES OF $1,423,500. B. 1,290 BIKES,$36,345 TO NC, AND $SALES OF $2,324,500. C. 3,090 BIKES,$24,545 TO NC, AND $SALES OF $3,654,300. D. 3,090 BIKES,$24,545 TO NC, AND $SALES OF $3,654,300. 35) Isakson Company has a contribution margin per unit of $30 and a contribution margin ratio of 60%. How much is the selling price of each unit? Answer A. $75 B. $18 C. $50 D. Cannot be determined without more information. 36) The high-low method is criticized because it Answer A. is a mathematical method. B. doesn't provide reasonable estimates. C. ignores much of the available data by concentrating on only the extreme points. D. is not a graphical method
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