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ABC Company Limited distributes snack by mail order. The fixed costs are a telephone line and the printing and mailing of a catalog. These costs
ABC Company Limited distributes snack by mail order. The fixed costs are a telephone line and the printing and mailing of a catalog. These costs total $300 per month. The average order is $5. The variable cost per sale is $2.50 which includes postage. The firm wants to make profit $500 per month. What are the firm's break-even sales of orders per month? 220 orders 320 orders 120 orders 600 orders. ABC Company Limited has an inventory conversion period of 45 days, an accounts receivable collection period of 36 days, and a payables deferral of 35 days (assume a 360 day-year).If the firm's sales are $4,250,000, how much inventory is on the firm's statement financial position? $500,790 $350,175 $410,225 $531,250 ABC Company Limited has non-current assets $75,000, total assets $105,000. non-current liabilities $35,000, and shareholders' equity 45,000. The company earns 7% on current assets and 20% on fixed assets. What is the firm's annual profits on total assets? $4,100 $17,100 $18,900 $3,000
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