13. General Electric Company which manufactures electric motor has a capacity of producing 150 motors a month. The variable costs are P4,000.00 per month, the average selling price of the motor is P750.00 per motor. Fixed costs of the company amount to P78,000.00 per month which includes all taxes. The company has 12,000 shares of stock at P150.00 par value whose annual dividends are 15%. What is the profit if production is at 50% of capacity?

13. General Electric Company which manufactures electric motor has a capacity of producing 150 motors a month. The variable costs are P4,000.00 per month, the average selling price of the motor is P750.00 per motor. Fixed costs of the company amount to P78,000.00 per month which includes all taxes. The company has 12,000 shares of stock at P150.00 par value whose annual dividends are 15%. What is the profit if production is at 50% of capacity?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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