The following costs result from the production and sale of 4,250 drum sets manufactured by Tight Drums Company for the year ended December 31, 2019. The drum sets sell for $275 each. The company has a 30% income tax rate. Variable production costs Plastic for casing $ 93,500 Wages of assembly workers 369,750 Drum stands 131,750 Variable selling costs Sales commissions 85,000 Fixed manufacturing costs Taxes on factory 12,500 Factory maintenance 25,000 Factory machinery depreciation 85,000 Fixed selling and administrative costs Lease of equipment for sales staff 25,000 Accounting staff salaries 75,000 Administrative management salaries 155,000 Required: 1. Prepare a contribution margin income statement for the year. 2. Compute its contribution margin per unit and its contribution margin ratio. 3. For each dollar of sales, how much is left to cover fixed costs and contribute to operating income
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Business, 22.06.2019 11:00
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Business, 22.06.2019 11:00
What is the advantage of developing criteria for assessing the effectiveness of business products and processes? a. assessment criteria are answers. b.assessment criteria are inexpensive. c.assessment criteria provide you with a list of relevant things to measure. d.assessment criteria provide you with a list of people to contact to learn more about process mentoring.
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Business, 23.06.2019 00:10
During the current year, luis university received a $50,000 gift from an alumna who specified that it must be used to pay travel costs for faculty to attend health care conferences in foreign countries. during the year the university spent $8,000 to support travel to a health care conference in italy. the $8,000 disbursement will cause a net decrease in which class of net assets?
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Business, 23.06.2019 04:40
2. a computer equipment was acquired at the beginning of the year at a cost of $56,000 with an estimated residual value of $5,000, and an estimated useful life of five years. determine the second year’s depreciation expense using the straight-line method.
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The following costs result from the production and sale of 4,250 drum sets manufactured by Tight Dru...
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