IvanhoeIndustries manufactures light fixtures for home, retail, and industrial customers. The retail line has been showing losses for several years, and management is considering dropping the line. Recent income statements have been very similar to the following information which was prepared for the most recent year: Home Retail Industrial Total Sales $550400 $320400 $830400 $1701200 Variable costs 358100 218200 681300 1257600 192300 102200 149100 443600 Contribution margin Fixed costs 125400 130400 115400 371200 Operating income $66900 $128200) $33700 $72400 of the fixed costs $316200 of it is common costs that have been allocated equally to each product line. What will total operating income be if Ivanhoe drops the retail line? $14800) $25200 577200 $100600 Pharoah, Inc. is considering the purchase of a warehouse directly across the street from its manufacturing plant. Pharoah currently warehouses its inventory in a public warehouse across town. Rent on the warehouse and delivering and picking up inventory cost Pharoah $53760 per year. The building will cost Pharoah $504000. Pharoah will depreciate the building for 20 years. At the end of 20 years, the building will have a $140000 salvage value. Pharoah's required rate of return is 12% Click here to view the factor table. Using the present value tables, the building's net present value is (round to the nearest dollar) O 5-87927 $416073 O $1075200 O $48685 Sarah's Pickled Snacks produces several types of pickled vegetables. The company budgets for each quarter in the last month of the previous quarter. In early March, Sarah is preparing the budget for pickled beets, Budgeted sales are 12700 jars for April, 17700 jars for May, and 20200 jars for June. Each jar requires 1.2 pounds of beets. The pickling process takes 60 minutes for 20 jars. Because pressurized cooking is used the processing is monitored by an employee at all times. Each jar of pickled beets sells for $15.00 Sarah requires ending Finished Goods inventory equal to 30% of the following month's sales. Other information is as follows: Standard direct labor rate Manufacturing overhead rate Price of beets Price of jars, 100 lot $12,00 per hour 45.00 per direct labor hour 6,00 per pound 150,00 per lot What is Sarah's production budget for April? 0 18010 14200 11200 12700