AI Madinah Tire Company is considering the following alternatives: Alternative 1 Alternative 2 Revenues OMR 120,000 OMR 115,000 Shipping costs 60,000 70,000 Repair costs 45,000 25,000 When looking at shipping costs, choosing Alternative 2 will affect net income by a: Select one: O a. 5,000 decrease O b. None of the answers are correct O c. 10,000 decrease O d. 15,000 decrease O e. 10,000 increase

AI Madinah Tire Company is considering the following alternatives: Alternative 1 Alternative 2 Revenues OMR 120,000 OMR 115,000 Shipping costs 60,000 70,000 Repair costs 45,000 25,000 When looking at shipping costs, choosing Alternative 2 will affect net income by a: Select one: O a. 5,000 decrease O b. None of the answers are correct O c. 10,000 decrease O d. 15,000 decrease O e. 10,000 increase

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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Given two alternatives, A and B; you have performed the cost analysis below. Your company has an MARR of 10%, which option should you choose? A B А-B Initial Cost $125,000 $105,000 $20,000 Annual $30,500 $27,000 $3,500 Benefits Annual $2,900 $4,000 ($1,100) Costs Salvage $0 $7,000 ($7,000) Value Life 7 7 7 IRR 12.2% 12.9% 7.8% A Neither Either could be chosen, they are equally as good
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I solved the first 4. I need the rest please. Thanks in advance.
Holding other factors constant, a company's contribution margin per unit will increase with: O a. any decrease in quantity sold. O b. increase in its total fixed costs c. O c. any decrease in the selling price per unit O d. any increase in variable cost per unit O e. None answers given are correct. 14:0 nere to search W A a 10) ENG 15-04-2 prt sc delete home end $ 96 & 6. num 8. + backspace lock V E T P home D F J K enter pause C 1 shift end alt ctrl
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Match the descriptions 1 through 5 with labels a through e on the CVP chart. Dollars $25,000 $20,000 $15,000 $10,000 $5,000 $0 1. Break-even point 2. Total sales line 3. Loss area 4. Profit area 5. Total costs line (b) 200 400 600 (c) (d) (a) (e) 800 1,000 1,200 1,400 1,600 1,800 2,000 2,200 2,400 Units produced and sold
Muscat Pharmacy had sales of RO 1,000,000 (50,0000 units) for 2019. The variable expenses were RO 600,000 and fixed expenses were RO 300,000. What is the contribution margin per unit? Select one: a. None of the answers are correct O b. 400,000 O c. 4 O d. 40% O e. 8
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