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Culinary Enterprises manufactures cookware sets and sells the sets to department stores. Culinary expects to sell 2,100 cookware sets for $220 each in April and
Culinary Enterprises manufactures cookware sets and sells the sets to department stores. Culinary expects to sell 2,100 cookware sets for $220 each in April and 3,500 cookware sets for $235 each in May. Sales are 40% cash and 60% on account Compute the total budgeted sales for May O A $329,000 OB. $462 000 OC. $822 500 OD. $493,500 Voltaic Electronics uses a standard part in the manufacture of different types of radios. The total cost of producing 24.000 parts is $100,000, which includes fixed costs of $40 000 and variable costs of $60,000. The company can buy the part from an outside supplier for $2 per unit and avoid 30% of the fixed costs. Assume that the company can use the freed manufacturing space to make another product that can earn a profit of $17.000. If Voltaic outsources, what will be the effect on operating income? PIMI O A. decrease of $41,000 B. increase of $41,000 O C. decrease of $12,000 D. increase of $17,000
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