Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

part 1) A construction company has total revenues of $650,000; total construction costs of $509,000; and general overhead costs of $65,000 for the year. Determine

part 1)

A construction company has total revenues of $650,000; total construction costs of $509,000; and general overhead costs of $65,000 for the year. Determine the company's total profit for the year and the percentage of the construction revenues that become profits.

Group of answer choices

$109,000; 10%

$141,000; 21.6%

$76,000; 11.69%

None of the available answers

part 2)

A construction company estimates it's fixed overhead to be $35,000, sales expenses of 19%, and direct costs of 55%. In order to break even the company must achieve a total sales volume of ___________. Select the closest answer.

Group of answer choices

$77,778

$184,210

$155,850

$134,615

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

The Complete Guide To Spotting Accounting Fraud And Cover-Ups

Authors: Martha Maeda

1st Edition

160138212X, 978-1601382122

More Books

Students also viewed these Accounting questions