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Kuzio Corporation produces and sells a single product. Data concerming that product appear below: Per Unit 5 140 84 5 56 Percent of Sales 100%

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Kuzio Corporation produces and sells a single product. Data concerming that product appear below: Per Unit 5 140 84 5 56 Percent of Sales 100% 60% 40% Selling price Variable expenses Contribution margin The company is currently selling 6600 units per month Fixed expenses are $188,000 per month The marketing manager believes that a 57000 increase in the monthly advertising budget would result in a 170 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change? A) decrease of $7000 C) increase of $9520 B) increase of $2520 D) decrease of $2520 6) Wimpy Inc. produces and sells a single product. The selling price of the product is $230.00 per unit and its variable cost is $78.20 per unit. The fixed expense is $390,456 per month The break-even in monthly dollar sales is closest to: (Round your intermediate calculations to 2 decimal places) A) $390,456 B) 5591,600 C) 5757,944 D) S1,148,400 7) Data concerning Bedwell Enterprises Corporation's single product appear below Selling price per unit Variable expense per unit Fixed expense per month 225.00 98.00 449,640 The unit sales to attain the company's monthly target proft of $32,000is closest to: (Do not round intermediate calculations.) A) 2141 B) 4915 3792 D) 3540 s) Derst Inc. sells a particular textbook for $28. Variable expenses are $22 per book. At the current volume of 54,000 books sold per year the company is just breaking even. Given these data, the annual fixed expenses associated with the textbook total: A) S1,188,000 B) $324,000 C)$1,836,000 D) $1,512,000 9) Which of the following statements is true of the budgeting process? A) It is a continuous process that encourages communication B) If a company carefully plans for its future, there will be no need to make modifications during the budget perio. C) It shows the actual performance of the business D) Managers and employees are motivated to accept the budget's goals because they enjoy having their

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