Metro Electronics buys smartphones for $600 and sells them for $800. Calculate the gross profit margin on these smartphones. a) 35% b) 25% c) $200 d) 30%
Q: Hello tutor please help me this question solution
A: Step 1: Definition of Interest ExpenseInterest expense is the cost incurred by a company for…
Q: If you give me correct answer the financial accounting question I will give you helpful rate
A: Step 1: Calculation of average cost per unitTotal units purchased = 700Total cost = $5,180Step 2:…
Q: What is the effective cost of trade credit under the credit terms of 2/15, net 40? Assume 365 days…
A: Concept of Trade CreditTrade credit is a financing arrangement in which a supplier allows a buyer to…
Q: Subject: financial accounting
A: Using the Capital Asset Pricing Model (CAPM), we can calculate Nike's expected return as follows:…
Q: Answer this Question
A: Concept of Net SalesNet Sales represents the actual revenue a company earns after deducting sales…
Q: ?!
A: Concept of Standard Direct Labor HoursStandard direct labor hours refer to the pre-determined amount…
Q: How many units were completed during the period?
A: Step 1: Definition of Process CostingProcess costing is a costing method used to allocate production…
Q: Quick answer of this accounting questions
A: Calculate Net IncomeWe'll start with EBIT (Earnings Before Interest and Taxes) and work our way down…
Q: Compute the company's fixed asset turnover ratio for the year of this financial accounting question
A: Step 1: Definition of Fixed Asset Turnover RatioThe Fixed Asset Turnover Ratio measures how…
Q: Correct option ? ?
A: Calculation of Gross ProfitGross Profit = Sales Price - Purchase Price = $800 -…
Q: Need answer
A: Explanation of Net Income:Net income is the total profit a company generates after deducting all…
Q: Do fast answer of this accounting questions
A: Step 1: Definition of Days Sales Outstanding (DSO)Days Sales Outstanding (DSO) measures how long, on…
Q: I want answer
A: Explanation of Inventory Conversion Period: The inventory conversion period represents the average…
Q: answer plz
A: Step 1: Calculation of total direct labor costTotal direct labor cost = Number of direct labor hours…
Q: Can you please give me correct answer this financial accounting question?
A: Profit Margin= (Income from Operations / Sales) * 100After plugging in the given values we get=…
Q: Compute total manufacturing costs
A: Explanation of Direct Labor: Direct Labor represents the wages and other compensation paid to…
Q: Financial Accounting: At an output level of 53,000 units, you calculate that the degree of operating…
A: Step 1: Calculation of percentage change in outputStep 2: Calculation of percentage change in…
Q: I Want Answer
A: Coefficient of variation formulaCoefficient of variation = s/x̄wheres = standard deviation x̄ = mean…
Q: Answer this Accounting question
A: Explanation of Base Salary: Base salary represents the fixed amount of compensation that an employee…
Q: What is its return on total assets of this general accounting question?
A: Step 1: Define Return on Assets (ROA)Return on Assets (ROA) is a financial metric that measures a…
Q: Can you please help me this financial accounting question?
A: Step 1: Define Avoidable CostsAvoidable costs are expenses that a company will no longer incur if a…
Q: Accurate answer
A: Step 1: Journal Entry to apply the Factory overhead for the year included the Debit to Work in…
Q: Given answer general Accounting
A: Step 1: Calculation of total estimated variable manufacturing overheadsTotal estimated variable…
Q: A firm purchases machinery, which has an estimated useful life of 14 years and no salvage value, for…
A: An adjusting entry is a journal entry made at the end of an accounting period to record revenues and…
Q: Financial Accounting MCQ
A: Physical changes made to a leased property, like adding new walls, flooring, or lighting, are known…
Q: Determine the equipment units of production
A: Explanation of Equivalent Units of Production (EUP):Equivalent units of production (EUP) represent…
Q: Financial accounting
A: Step 1: Define Key ConceptsIncremental Revenue - The additional revenue generated from processing…
Q: Morse Company reports a total contribution margin of $112,000 and pretax net income of $16,000 for…
A: Concept of Contribution MarginContribution Margin is the difference between total sales revenue and…
Q: What will be the percentage change in operating cash flow for this financial accounting question?
A: Step 1: Definition of Degree of Operating Leverage (DOL)The Degree of Operating Leverage (DOL)…
Q: General Accounting
A: To determine the effect on operating income; 1. Calculate the current cost of manufacturing:Variable…
Q: A manufacturer sells a product for $45 to a wholesaler, and the wholesaler sells it to a retailer.…
A: Step 1: Understanding the Markup TypeThe wholesaler and retailer both use markup based on selling…
Q: General Accounting
A: Step 1: Define Total Land CostThe Total Land Cost includes all expenditures necessary to acquire the…
Q: Quick answer of this accounting questions
A: Step 1: Definition of Profit MarginProfit margin is a financial metric that measures the percentage…
Q: Subject: general accounting
A: Explanation of Net Sales: Net sales represent the total revenue generated by Mason Ltd. from its…
Q: Morse Company reports a total contribution margin of $112,000 and pretax net income of $16,000 for…
A: Step 1: Formula Degree of operating leverage = Contribution margin/Operating income Step 2:…
Q: Subject: financial accounting
A: Step 1: Define Inventory Turnover and Average Days to Sell InventoryInventory Turnover measures how…
Q: Provide answer
A: 1) We know: * Base salary = $1,950 per month * Commission rate = 6.8% = 0.068 * Total paycheck =…
Q: Financial Accounting
A: Step 1: Information givenPurchase cost per unit = $120Selling price per unit = $200Clearance price…
Q: If the current market price for selling a product at Andrew Materials is $15.50 per unit, and the…
A: The target cost is the maximum cost a company can afford to produce a product while still achieving…
Q: If the current market price for selling a product at Andrew Materials is $15.50 per unit, and the…
A: Approach to solving the question:freeform Detailed explanation: To determine the target cost, we…
Q: answer plz me
A: Step 1: Definition of Materials Purchase Price VarianceMaterials Purchase Price Variance measures…
Q: Need correct answer
A: The Manufacturing Cycle Efficiency (MCE) is calculated as Value-Added Time ÷ Total Cycle Time. Here,…
Q: The Pilot Corporation had 17,000 shares of common stock outstanding on January 1 and issued an…
A: Concept of Common Shares OutstandingCommon Shares Outstanding refers to the total number of shares…
Q: ANSWER
A: Concept of Weighted Average Process SystemThe Weighted Average Process System is a cost allocation…
Q: Please find the correct answer
A: Step 1: Definition of High-Low MethodThe High-Low Method is a technique used to separate fixed and…
Q: Ans
A: Given:Return on equity = 22%Total asset turnover = 2.9Profit margin = 5%Total equity = $7,500…
Q: At an output level of 19,500 units, you have calculated that the degree of operating leverage is…
A: Concept of Degree of Operating Leverage (DOL)The Degree of Operating Leverage (DOL) measures how a…
Q: Can you help me with accounting questions
A: Step 1: Definition of Volume Variance for Sales RevenueThe Volume Variance for Sales Revenue…
Q: expert of general accounting answer
A: Step 1: Definition of Goodwill AccountingGoodwill is an intangible asset recorded when a company…
Q: The balance sheet for simmons corporation reported the following
A: Explanation of Working Capital:Working capital represents the difference between a company's current…
Provide answer general Accounting
Step by step
Solved in 2 steps
- Delta Co. sells a product for $150 per unit. The variable cost per unit is $90 and fixed costs are $15,250. Delta Co.s tax rate is 36% and the company wants to earn $44,000 after taxes. What would be Deltas desired pre-tax income? What would be break-even point in units to reach the income goal of $44,000 after taxes? What would be break-even point in sales dollars to reach the income goal of $44000 after taxes? Create a contribution margin income statement to show that the break-even point calculated in B, generates the desired after-tax income.GameDay sells recreational vehicles along with secure parking storage to customers. Game Day sells the FB7 model for 62,000, and this price includes one year of secure parking storage. GameDay also sell secure parking storage separately for 8,000 per year, and customers can purchase the FB7 model without secure parking storage for 60,000. If a customer purchases the FB7 model with secure parking storage, how should GameDay allocate the transaction price?Keleher Industries manufactures pet doors and sells them directly to the consumer via their web site. The marketing manager believes that if the company invests in new software, they will increase their sales by 10%. The new software will increase fixed costs by $400 per month. Prepare a forecasted contribution margin income statement for Keleher Industries reflecting the new software cost and associated increase in sales. The previous annual statement is as follows:
- Shonda & Shonda is a company that does land surveys and engineering consulting. They have an opportunity to purchase new computer equipment that will allow them to render their drawings and surveys much more quickly. The new equipment will cost them an additional $1.200 per month, but they will be able to increase their sales by 10% per year. Their current annual cost and break-even figures are as follows: A. What will be the impact on the break-even point if Shonda & Shonda purchases the new computer? B. What will be the impact on net operating income if Shonda & Shonda purchases the new computer? C. What would be your recommendation to Shonda & Shonda regarding this purchase?Reset cells to their initial values. Sweet Pleasures, Inc., is considering undertaking a 1,200 per month advertising campaign to promote Sweet Pleasures chocolate as exclusive and extraordinarily tasty. What price (dollars and cents) would Sweet Pleasures have to charge for each box to be able to pay for the campaign, pay back the 10,000 note, and have 15,000 left over at the end of April? (Try different prices in cell C9.) Sales price ___Able Transport operates a tour bus that they lease with terms that involve a fixed fee each month plus a charge for each mile driven. Able Transport drove the bus 7,000 miles and paid a total of $1,360 in June. In October. Able Transport paid $1,280 for the 5,000 miles driven. If Able Transport uses the high-low method to analyze costs, how much would Able Transport pay in December, if they drove 6,000 miles?
- Reubens Deli currently makes rolls for deli sandwiches it produces. It uses 30,000 rolls annually in the production of deli sandwiches. The costs to make the rolls are: A potential supplier has offered to sell Reuben the rolls for $0.90 each. If the rolls are purchased, 30% of the fixed overhead could be avoided, If Reuben accepts the offer, what will the effect on profit be?Deuce Sporting Goods manufactures a high-end model tennis racket. The company’s forecasted income statement for the year, before any special orders, is as follows: Fixed costs included in the forecasted income statement are $400,000 in manufacturing cost of goods sold and $200,000 in selling expenses. A new client placed a special order with Deuce, offering to buy 1,000 tennis rackets for $100.00 each. The company will incur no additional selling expenses if it accepts the special order. Assuming that Deuce has sufficient capacity to manufacture 1,000 more tennis rackets, by what amount would differential income increase (decrease) as a result of accepting the special order? (Hint: First compute the variable cost per unit relevant to this decision.)Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of $30. The companys monthly fixed expenses are $22,500. What is the companys break-even point in units? What is the companys break-even point in dollars? Construct a contribution margin income statement for the month of September when they will sell 900 units. How many units will Maple need to sell in order to reach a target profit of $45,000? What dollar sales will Maple need in order to reach a target profit of $45,000? Construct a contribution margin income statement for Maple that reflects $150,000 in sales volume.
- Schylar Pharmaceuticals, Inc., plans to sell 130,000 units of antibiotic at an average price of 22 each in the coming year. Total variable costs equal 1,086,800. Total fixed costs equal 8,000,000. (Round all ratios to four significant digits, and round all dollar amounts to the nearest dollar.) Required: 1. What is the contribution margin per unit? What is the contribution margin ratio? 2. Calculate the sales revenue needed to break even. 3. Calculate the sales revenue needed to achieve a target profit of 245,000. 4. What if the average price per unit increased to 23.50? Recalculate: a. Contribution margin per unit b. Contribution margin ratio (rounded to four decimal places) c. Sales revenue needed to break even d. Sales revenue needed to achieve a target profit of 245,000Syntech makes digital cameras for drones. Their basic digital camera uses $80 in variable costs and requires $1,500 per month in fixed costs. Syntech sells 100 cameras per month. If they process the camera further to enhance its functionality, it will require an additional $45 per unit of variable costs, plus an increase in fixed costs of $1,000 per month. The current price of the camera is $160. The marketing manager is positive that they can sell more and charge a higher price for the improved version. At what price level would the upgraded camera begin to improve operational earnings?Calculate the hotels margin of safety (both in units and in sales dollars) for Many Glacier Hotel, assuming the same facts as in Requirement 3, and assuming that it sells 700 canoes and 2,500 paddles next year.
