X Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 At the beginning of the year, the company uses $180,000 of cash (received on accounts receivable) to repurchase and retire some of its common stock. (Round your intermediate calculations and final answers to 2 decimal places.) Effect Margin % Increase Turnover Increase ROI 25.87 X % Increase

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The contribution format income statement for Huerra Company for last year is given below:
“雅
Total
Unit
Sales
$
992,000
$ 49.60
Variable expenses
595,200
396,800
312,800
84,000
33,600
29.76
Contribution margin
Fixed expenses
19.84
15.64
Net operating income
Income taxes @ 40%
4.20
1.68
Net income
$
50,400
$
2.52
The company had average operating assets of $502,000 during the year.
Transcribed Image Text:The contribution format income statement for Huerra Company for last year is given below: “雅 Total Unit Sales $ 992,000 $ 49.60 Variable expenses 595,200 396,800 312,800 84,000 33,600 29.76 Contribution margin Fixed expenses 19.84 15.64 Net operating income Income taxes @ 40% 4.20 1.68 Net income $ 50,400 $ 2.52 The company had average operating assets of $502,000 during the year.
7. At the beginning of the year, the company uses $180,000 of cash (received on accounts receivable) to repurchase and retire some
of its common stock.
X Answer is not complete.
Complete this question by entering your answers in the tabs below.
Required 1
Required 2
Required 3
Required 4
Required 5
Required 6
Required 7
At the beginning of the year, the company uses $180,000 of cash (received on accounts receivable) to repurchase and retire
some of its common stock. (Round your intermediate calculations and final answers to 2 decimal places.)
Effect
Margin
Increase
Turnover
Increase
ROI
25.87 X %
Increase
Transcribed Image Text:7. At the beginning of the year, the company uses $180,000 of cash (received on accounts receivable) to repurchase and retire some of its common stock. X Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 At the beginning of the year, the company uses $180,000 of cash (received on accounts receivable) to repurchase and retire some of its common stock. (Round your intermediate calculations and final answers to 2 decimal places.) Effect Margin Increase Turnover Increase ROI 25.87 X % Increase
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