Contribution margin=Sales-Variable costs
=(25-13)=$12 per unit
Contribution margin ratio=Contribution margin/Sales
=12/25
=48%
Multiple Choice Question 86 Sunland Company produces flash drives for computers, which it sels for $25...
Multiple Choice Question 86 Sheffield Corp. produces flash drives for computers, which it sells for $25 each. Each flash drive costs $12 of variable costs to make. During April, 1000 drives were sold. Fixed costs for April were $1000. How much is the contribution margin ratio? . 5296 60% 56% Click if you would like to Show Work for this question: Qren Show Work
Coronado Industries produces flash drives for computers, which it sells for $25 each. Each flash drive requires $6 of variable costs to make. During April, 1,000 drives were sold. Fixed costs for April were $1,000. How much is the contribution margin ratio?
Sunland Company produces flash drives for computers, which it sells for $20 each. Each flash drive costs $10 of variable costs to make. During April, 2500 drives were sold. Fixed costs for April were $6 per unit for a total of $15000 for the month. If variable costs decrease by 20%, what happens to the break-even level of units per month for Sunland Company? It is 20% higher than the original break-even point. It decreases about 250 units. It decreases...
134. Murphy Company produces flash drives for computers, which it sells for $20 each. Each flash drive costs $6 of variable costs to make. During April, 700 drives were sold. Fixed costs for April were $4 per unit for a total of $2,800 for the month. How much does Murphy's operating income increase for each $1,000 increase in revenue per month? a. $700 b. $500 c. $14,000 d. Not enough information to determine the answer.
9...LeoneCompany produces flash drives for computers, which it sells for $20 each. Each flash drive costs $6 of variable costs to make. During April, 1,000 drives were sold. Fixed costs for March were $2per unit for a total of $1,000 for the month. How much is the contribution margin ratio? 10...Aaron Co. is considering purchasing a new machine which will cost $200,000, but which will decrease costs each year by $40,000. The useful life of the machine is 10 years....
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0 out of 3 points Question 11 Sutton Company produces flash drives for computers, which it sells for $20 each. Each flash drive costs $6 of variable month. How much does Sutton's operating income increase for each $1,000 increase in revenue per month? Selected Answer: c) $14,000 Answers: ·D costs to make. During April, 700 drives were sold. Fixed costs for April were $4 per unit for a total of $2.800 for the note that the University...
Creating and Using a Cost Formula Big Thumbs Company manufactures portable flash drives for computers. Big Thumbs incurs monthly depreciation costs of $15,400 on its plant equipment. Also, each drive requires materials and manufacturing overhead resources. On average, the company uses 10,200 ounces of materials to manufacture 5,100 flash drives per month. Each ounce of material costs $3.00. In addition, manufacturing overhead resources are driven by machine hours. On average, the company incurs $30,600 of variable manufacturing overhead resources to...
Creating and using a Cost Formula Big Thumbs Company manufactures portable flash drives for computers. Big Thumbs incurs monthly depreciation costs of $15,000 on its plant equipment. Also, each drive requires materials and manufacturing overhead resources. On average, the company uses 10,000 ounces of materials to manufacture 5,000 flash drives per month. Each ounce of material costs $3.00. In addition, manufacturing overhead resources are driven by machine hours. On average, the company mcurs $22,500 of variable manufacturing overhead resources to...
Big Thumbs Company manufactures portable flash drives for computers. Big Thumbs incurs monthly depreciation costs of $15,300 on its plant equipment. Also, each drive requires materials and manufacturing overhead resources. On average, the company uses 12,000 ounces of materials to manufacture 4,800 flash drives per month. Each ounce of material costs $3.00. In addition, manufacturing overhead resources are driven by machine hours. On average, the company incurs $28,800 of variable manufacturing overhead resources to produce 4,800 flash drives per month....
Question 3 4 pts An increase in the level of activity will have which of the following effects on unit costs for variable and fixed costs: Unit Variable Cost a. Increases b. Remains constant c. Decreases d. Remains constant Unit Fixed Cost Decreases Remains constant Remains constant Decreases oc o o Question 8 4 pts Which of the following costs are variable? Cost - sio 10,000 Units $100,000 40,000 90,000 50,000 30,000 Units $300,000 240,000 90.000 150,000 1 and 4...