Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

answer all questions 16) Young Company has provided the following information 16) Price per unit Variable cost per unit Fixed costs per montih $40 12

answer all questions
image text in transcribed
16) Young Company has provided the following information 16) Price per unit Variable cost per unit Fixed costs per montih $40 12 $12,600 What is the amount of sales in dollars required for Young to break even? A) $12,600 B) $1,050 C) $5,400 D) $18,000 17) McDaniel Company sells two products-J and B. McDaniel predicts that it will sell 7.200 units ofJ 17) and 5,600 units of B in the next period. The unit contribution margins are $2.85 and $6.30, respectively. What is the weighted-average unit contribution margin? A) $9.96 per product C) $7.75 per product B) $4.36 per product D) $4.58 per product 18) Venus Inc. has fixed costs of $300,000. Total costs, both fixed and variable, are $450,000 when 30,000 18) units are produced. Calculate the total costs if the volume increases to 60,000 units. A) $1,200,000 B) $600,000 C) $450,000 D) $750,000 19) Evans Roofing Company has estimated the following amounts for its next fiscal year 19) Total fixed expenses Sale price per unit Variable expenses per unit $832,500 40 25 If the company spends an additional $30,000 on advertising, sales volume would increase by 2,500 units. What effect will this decision have on the operating income of Evans? A) Operating income will increase by $7,500 B) Operating income will decrease by $62,500 C) Operating income will increase by $70,000 D) Operating income will increase by $37,500 20) A groups cost by behavior, costs are classified as either variable costs or fixed costs 20) A) absorption costing income statement C) balance sheet 8) contribution margin income statement D) traditional income statement 21) Ron Moss, a manager of Waterworks Inc, was reviewing the water bills of a dog daycare and spa. 21) He determined that its highest and lowest bills of $3,800 and $2,400 were incurred in the months of May and November, respectively. If 400 dogs were washed in May and 200 dogs were washed in November, what was the fixed cost per dog associated with the company's water bill? A) $3.800 B) $1,400 C) $2,400 D) $1,000 22) The dollar amount that provides for covering fixed costs and then provides for operating income is 22) called A) total cost C) margin of safety B) variable cost D) contribution margin

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

Audit Of EPAs Fiscal 2013 And 2012 Consolidated Financial Statements

Authors: U.S. Environmental Protection Agency

1st Edition

1500696218, 978-1500696214

More Books

Students also viewed these Accounting questions

Question

c. What were you expected to do when you grew up?

Answered: 1 week ago

Question

d. How were you expected to contribute to family life?

Answered: 1 week ago

Question

e. What do you know about your ethnic background?

Answered: 1 week ago