The president of National Co., after being informed that the 2021 selling price was 6% lower than 2020, would like to know other factors th at changes the gross margin as shown below. 2021 P426,384.00 P276.242.40 P150.141.60 2020 Net Sales Cost of Sales Gross Margin P420,000.00 P243,600.00 P176.400.00

The president of National Co., after being informed that the 2021 selling price was 6% lower than 2020, would like to know other factors th at changes the gross margin as shown below. 2021 P426,384.00 P276.242.40 P150.141.60 2020 Net Sales Cost of Sales Gross Margin P420,000.00 P243,600.00 P176.400.00

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Sales Variable costs Cost of goods sold Operating expenses Total variable Contribution margin Fixed costs Cost of goods sold Operating expenses Total fixed Net income (loss) Continue LA $ Eliminate LA Net Income Increase (Decrease)
Change in operating income = change in sales dollars x contribution margin What is the equation for the "change in sales dollars"?
In the fixed cost per unit does the it increase as activity decreases and will decrease as activity increases?
Production is less than sales. i.e. closing inventory is reducing Absorption costing will produce a lower profit Why?
As the level of activity increases, how will a mixed cost in total and per unit behave? A) B) (C) D) E) In Total Increase Increase Increase Decrease Decrease Multiple Choice Choice A Choice B Choice C Choice D Per Unit Decrease Increase No effect Increase No effect
At break even point: a) sales - contribution margin = net income or net loss b) sales - fixed expenses = variable expenses c) sales + variable expenses = contribution margin d) contribution margin + fixed expenses = net income
What's the expected profit at break-even in a cost-volume-profit analysis?
Which of the following statements correctly complete the sentence:"Gross Margin equals":I. sales revenue less (minus) cost of goods sold.II. contribution margin less (minus) fixed costs.III. operating income plus all period costs.IV. sales revenue less (minus) cost of goods manufactured.
When the sales price per unit decreases, the contribution margin per unit A. decreases B. increases OC. increases proportionately OD. remains the same 13