Homework Help is Here – Start Your Trial Now!
Business
Accounting
Daniel is interested in entering the orange farming business. He estimates if he enters this business, his fixed costs would be P50,000 per year and his variable costs would equal 40 percent of sales. If each orange sells for P2, how many oranges would Daniel need to sell to generate a profit that is equal to 10 percent of sales? *

Daniel is interested in entering the orange farming business. He estimates if he enters this business, his fixed costs would be P50,000 per year and his variable costs would equal 40 percent of sales. If each orange sells for P2, how many oranges would Daniel need to sell to generate a profit that is equal to 10 percent of sales? *

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

p11

Daniel is interested in entering the orange farming business. He estimates if he enters this business, his fixed costs would be P50,000 per year and his variable costs would equal 40 percent of sales. If each orange sells for P2, how many oranges would Daniel need to sell to generate a profit that is equal to 10 percent of sales? *
Transcribed Image Text:Daniel is interested in entering the orange farming business. He estimates if he enters this business, his fixed costs would be P50,000 per year and his variable costs would equal 40 percent of sales. If each orange sells for P2, how many oranges would Daniel need to sell to generate a profit that is equal to 10 percent of sales? *
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS