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8. A company is considering the following alternatives: Revenues Alternative 1 $120,000 Variable costs 60,000 Fixed costs 35,000 Alternative 2 $120,000 70,000 35,000 Which of
8. A company is considering the following alternatives: Revenues Alternative 1 $120,000 Variable costs 60,000 Fixed costs 35,000 Alternative 2 $120,000 70,000 35,000 Which of the following are relevant in choosing between the alternatives? a. Variable costs b. Revenues c. Fixed costs d. Variable costs and fixed costs 9. Dammam Corporation budgets on an annual basis for its fiscal year. The following beginning and ending inventory levels are planned for the fiscal year of July 1, 2022 to June 30, 2023: June 30, 2022 June 30, 2023 Raw Materials 3,000 kilos 4,000 kilos Four kilos of raw materials are needed to produce each unit of finished product. If Dammam Corporation plans to produce 655,000 units during the 2022-2023 fiscal year, how many kilos of materials will the company need to purchase for its production during the year? a. 2,619,000 b. 1,947,000 c. 2,621,000 d. 1,950,000 e. Some other amounts. 10. Taif Sweet Factory manufactures and sells three products of luxury sweet: Basic, Basic Plus, and Premium. The sales mix (as a percentage of total sales) of its three product lines is Basic, 30%; Basic Plus, 50%; and Premium, 20%. The contribution margin ratio of each product type is shown below: Product Type Basic Basic Plus Premium Contribution Margin Ratio 20% 30% 45% If the company's fixed costs are $45,000 per year, what is the sales ($) amount of each type of sweet product that must be sold to break even? a Basic, $45,000; Basic Plus, $75,000; Premium, $30,000 b. Basic, $30,000; Basic Plus, $75,000; Premium, $45,000 c. Basic, $45,500; Basic Plus, $30,000; Premium, $75,000 d. Basic, $30,000; Basic Plus, $45,000 Premium, $67,500
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