fixed monthly expenses do not change. Gayne Corporation's contribution margin ratio is 12% and itsfixed monthly expenses are $84,000. If the company's salesfor a month are $738,000, what is the best estimate of thecompany's net operating income? Assume that the fixedmonthly expenses do not change.A) $565,440B) $654,000C) $88,560D) $4,560

Step 1: Definition of Net IncomeNet income is the amount left after all expenses were taken into…

Answered: Gayne Corporation's contribution margin…

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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Your Corporation's fixed monthly expenses are $18,500 and its contribution margin ratio is 62%. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating income in a month when sales are $62,000? a) $38,440 b) $19,940 c) $5,060 d)$23,560
Creswell Corporation's fixed monthly expenses are $29,000 and its contribution margin ratio is 56%. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating income in a month when sales are $95,000? a. $12,800 b. $24,200 c. $53,200 d. $66,000
Maack Corporation's contribution margin ratio is 18% and its fixed monthly expenses are $49,000. If the company's sales for a month are $309,000, what is the best estimate of the company's net operating income? Assume that the fixed monthly expenses do not change. a. $6,620 b. $204,380 c. $55,620 d. $260,000
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Sarratt Corporation's contribution margin ratio is 70% and its fixed monthly expenses are $38,000. Assume that the company's sales for May are expected to be $97,000. Required: Estimate the company's net operating income for May, assuming that the fixed monthly expenses do not change. Net operating income
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Question: Naina Inc's contribution margin ratio is 64% and its fixed monthly expenses are $44,500. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating income in a month when sales are $131,000? Help me with this
Gayne Corporation's contribution margin ratio is 19% and its fixed monthly expenses are $50,500. If the company's sales for a month are $312,000, what is the best estimate of the company's net operating income? Assume that the fixed monthly expenses do not change. Multiple Choice $202,220 $8,780 $261,500 $59,280
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Jilk Incorporated's contribution margin ratio is 61% and its fixed monthly expenses are $45,500. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating income in a month when sales are $133,000?
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