Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Use the following information for questions 22-26: The Real Estate Products Division of McKenzie Co. is operated as a profit center. Sales for the

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

Use the following information for questions 22-26: The Real Estate Products Division of McKenzie Co. is operated as a profit center. Sales for the division were budgeted for 2019 at $1,250,000. The only variable costs budgeted for the division were cost of goods sold of $610,000 and selling and administrative of $80,000. Fixed costs were budgeted at $130,000 for cost of goods sold, $120,000 for selling and administrative and $95,000 for noncontrollable fixed costs. Actual results for these items were: Sales Cost of Goods $1,175,000 Sold Variable 545,000 Fixed 140,000 Selling and Administrative Expense Variable 82,000 Fixed 100,000 Noncontrollable 105,000 fixed costs Question 22 Assuming a static budget, compute the total budget contribution margin for 2019: Question 23 Assuming a static budget, compute the total actual contribution margin for 2019: D Question 24 Assuming a static budget, compute the total budget controllable margin for 2019: Question 25 Assuming a static budget, compute the total actual controllable margin for 2019: 2 p 21 Question 26 3 pts Assume the division is an investment center such that all costs are controllable at the division level. and average operating assets were $1,200,000, Compute actual ROI. (Round your answer to two decimal points and answer in terms of a percentage, ie, 45.72%)

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

Intermediate Accounting

Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield

13th Edition

9780470374948, 470423684, 470374942, 978-0470423684

More Books

Students also viewed these Accounting questions

Question

Explain the concept of structured programming. Why is it important?

Answered: 1 week ago

Question

a sin(2x) x Let f(x)=2x+1 In(be)

Answered: 1 week ago

Question

In Exercises find dy/dx by implicit differentiation. xy - y = x

Answered: 1 week ago