Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

UNCC Corporation manufactures and sells one product for $34 per unit. The company maintains no beginning or ending inventories. Relevant range of production is 20,000

image text in transcribed
image text in transcribed
UNCC Corporation manufactures and sells one product for $34 per unit. The company maintains no beginning or ending inventories. Relevant range of production is 20,000 units to 30,000 units. When UNCC produces and sells 25,000 units, its unit costs are as follows: Direct materials $8 Direct labor $5 Variable manufacturing overhead $1 Fixed manufacturing overhead $6 Fixed selling and admin. expense $7 Variable selling and admin. expense What is the amount of net operating income if the company sells 26,000 units? $5 $75,000 O $65.000 $15,000 $45.000 Carolina Corporation provided the following budget for the coming month. $50 Sales price per unit Sales in units 8,000 Total Sales (in dollars) $400,000 Variable expenses 240,000 Contribution margin 160,000 Fixed expenses 60,000 Net operating income $100,000 What is the degree of operating leverage? O 1.6 O 4.6 O 1.2 2.1

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

Handbook Of EDP Auditing

Authors: Michael A. Murphy, Xenia Ley Parker

2nd Edition

0791304116, 978-0791304112

More Books

Students also viewed these Accounting questions

Question

3. Define the attributions we use to explain behavior

Answered: 1 week ago