Sandhill Corporation makes a mechanical stuffed alligator. The following information is available for Sandhill Corporation's expecte annual volume of 500,000 units: Direct materials Direct labour Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses Per Unit $14 9 11 5 Total $325,000 175,000 The company has a desired ROI of 40%. It has invested assets of $23,200,000.
Sandhill Corporation makes a mechanical stuffed alligator. The following information is available for Sandhill Corporation's expecte annual volume of 500,000 units: Direct materials Direct labour Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses Per Unit $14 9 11 5 Total $325,000 175,000 The company has a desired ROI of 40%. It has invested assets of $23,200,000.
Sandhill Corporation makes a mechanical stuffed alligator. The following information is available for Sandhill Corporation's expecte annual volume of 500,000 units: Direct materials Direct labour Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses Per Unit $14 9 11 5 Total $325,000 175,000 The company has a desired ROI of 40%. It has invested assets of $23,200,000.
Transcribed Image Text:Sandhill Corporation makes a mechanical stuffed alligator. The following information is available for Sandhill Corporation's expected
annual volume of 500,000 units:
Direct materials
Direct labour
Variable manufacturing overhead
Fixed manufacturing overhead
Variable selling and administrative expenses
Fixed selling and administrative expenses
Per Unit
$14
9
11
5
Total
$325,000
175,000
The company has a desired ROI of 40%. It has invested assets of $23,200,000.
Formula Formula ROI (%) = Net Income Principal Amount × 100
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