Ask Business Management Expert

Need a little help! and to see if we get around the same numbers...

1. Atlanta Co. expects to sell 5,903 units of its product at $32 per unit. Pretax income is predicted to be $8,235. If the variable costs per unit are $13, total fixed costs must be: Answer to nearest whole dollar without any commas or decimal points eg. 1000 not 1,000.00 Enter a negative number as -10 not (10)

Note: 

Note: Pretax Income = Revenue - variable costs - fixed costs

Therefore, fixed costs = revenue - variable costs - pretax income

Contribution margin = Revenue (price x units) - variable costs

2. Management anticipates fixed costs of $7,503 and variable costs equal to 43% of sales. What will pretax income equal if sales are $23,999? Answer to nearest whole dollar without any commas or decimal points eg. 1000 not 1,000.00 Enter a negative number as -10 not (10).

Note: pretax income = sales - fixed cost - variable costs

3. Star Company's product sells at $64 per unit and has a $37 per unit variable cost. The company's total fixed costs are $12,391. The contribution margin per unit is: Answer to nearest whole dollar without any commas or decimal points eg. 1000 not 1,000.00 Enter a negative number as -10 not (10)

  • Note: contribution margin per unit = selling price per unti - variable costs per unit
  • 4. Arkansas  Co. has total fixed costs of $14,044 and a contribution margin ratio of 39%. Assume that an additional advertising expenditure of $3,627 would increase sales by $9,045. The company wants to know if they should spend this additional amount on advertising. What would be the net increase or decrease in income if they make the additional expenditure? Answer to nearest whole dollar without any commas or decimal points eg. 1000 not 1,000.00 Enter a negative number as -10 not (10). Indicate an increase as a positive number and a decrease as a negative number.

Note: increase in sale x contribution margin ratio = increase in contribution margin

  • increase in contribution margin - increase in advertising costs = increase in income
  • 5. Bongo produces specialty logo cups for a variety of customers. Selected cost data for Bongo's follows: direct materials cost $1,766; sales commissions, $222; depreciation on equipment, $2,717; factory labor, $6,449; factory lease, $4,407. If Bongo's sells 2,763 cups at an average price of $7 for each cup, what is the company's contribution margin? Answer to nearest whole dollar without any commas or decimal points eg. 1000 not 1,000.00 Enter a negative number as -10 not (10).

Note: sale less variable costs = contribution margin

6. Costs for Robot Inc. follow:

Production costs can be expressed as Y=$29,100 + $65X

 

Selling and administrative costs are expressed as Y=$7,719 + $3X

If sales revenue per unit is $215 and 634 units are sold, what is the income for Robot Inc.? Answer to nearest whole dollar without any commas or decimal points eg. 1000 not 1,000.00 Enter a negative number as -10 not (10).

 

7. Copy of Costs for Robot Inc. follow:

Production costs can be expressed as Y=$26,522 + $87X

 

Selling and administrative costs are expressed as Y=$5,941 + $5X

If sales revenue per unit is $208 and 598 units are sold, what is the contribution margin for Robot Inc.? Answer to nearest whole dollar without any commas or decimal points eg. 1000 not 1,000.00 Enter a negative number as -10 not (10).

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M91411116
  • Price:- $40

Guranteed 36 Hours Delivery, In Price:- $40

Have any Question?


Related Questions in Business Management

Name a company that addressed a recent ethical problem in a

Name a company that addressed a recent ethical problem in a positive way. Also, explain how or if this positively affects us as a community?

When it is appropriate to use the trade-off process what

When it is appropriate to use the trade-off process. What conditions apply, and the technical evaluation criteria that might be used?

Need help with a essay with the following phrase for

Need help with a essay with the following phrase for analyzing : " Capitalism is at the heart of how people and organisations are managed in contemporary society" May i ask for a better explanation of the question? Also ...

How could these three tenets of the auburn creed be used to

How could these three tenets of the Auburn Creed be used to motivate others: "I believe that this is a practical word and that I can count only on what I earn. Therefore, I believe in work, hard work." "I believe in educ ...

How can these two tenets of the auburn creed by used in

How can these two tenets of the Auburn Creed by used in addressing teamwork issues: "I believe in honesty and truthfulness, without which I cannot win the respect and confidence of my fellow men." "I believe in the human ...

Discuss the advantages of having and interacting in a

Discuss the advantages of having and interacting in a diverse workplace. Consider the wide range of ideas and perspectives that a range of team members bring to a team, that are of differing ages, ethnic backgrounds and ...

Parmigiano-reggiano global recognition of geographical

Parmigiano-Reggiano: Global Recognition of Geographical Indications What historical factors have helped support the consortium's claims for the geographic specificity of Parmigiano-Reggiano and Parmesan? What are the eco ...

Communication planthis communication plan will be a roadmap

Communication Plan This communication plan will be a roadmap on how the new division will best be able to communicate with Biotech's corporate headquarters, suppliers, other divisions, and internally. This should lay out ...

Discuss strategies to obtain feedback from a customer and

Discuss strategies to obtain feedback from a customer and clients when working in sales.

Describe different networking methods and the advantages

Describe different networking methods and the advantages and disadvantages of them?

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As