Business
Business, 12.02.2020 04:47, des264

Northwood Company manufactures basketballs. The company has a ball that sells for $25. At present, the ball is manufactured in a small plant that relies heavily on direct labor workers. Thus, variable expenses are high, totaling $15 per ball, of which 60% is direct labor cost. Last year, the company sold 54,000 of these balls, with the following results: Sales (54,000 balls) $ 1,350,000 Variable expenses 810,000 Contribution margin 540,000 Fixed expenses 372,000 Net operating income $ 168,000 Required: a. Compute the CM ratio and the break-even point in balls. b. Compute the the degree of operating leverage at last year

answer
Answers: 1

Other questions on the subject: Business

image
Business, 22.06.2019 00:00, adayisenga
Which part/word/phrase in the passage refers to a business’s financing activity seen in a cash flow statement? nathan works as an accountant in a footwear manufacturing company. he is currently preparing the cash flow statement for his employer. during the given accounting period, the company purchased raw materials worth $25,000. it also bought new equipment worth $75,000 to increase its production output. further, it borrowed a long-term bank loan of $100,000 to facilitate further expansion. finally, the company spent $50,000 on advertising its latest brand of footwear in the market. {lol i guessed its "it borrowed a long-term bank loan of $100,000 to facilitate further expansion" and thats correct}
Answers: 1
image
Business, 22.06.2019 20:30, alyssanewsome
The research of robert siegler and eric jenkins on the development of the counting-on strategy is an example of design.
Answers: 3
image
Business, 22.06.2019 21:40, QueenNerdy889
Which of the following comes after a period of recession in the business cycle? a. stagflation b. a drought c. a boom d. recovery
Answers: 1
image
Business, 22.06.2019 23:30, keltaylor
Lucido products markets two computer games: claimjumper and makeover. a contribution format income statement for a recent month for the two games appears below: claimjumper makeover total sales $ 30,000 $ 70,000 $ 100,000 variable expenses 20,000 50,000 70,000 contribution margin $ 10,000 $ 20,000 30,000 fixed expenses 24,000 net operating income $ 6,000 required: 1. compute the overall contribution margin (cm) ratio for the company.. 2. compute the overall break-even point for the company in dollar sales. 3. complete the contribution format income statement at break-even point for the company showing the appropriate levels of sales for the two products. (do not round intermediate calculations.)
Answers: 1
Do you know the correct answer?
Northwood Company manufactures basketballs. The company has a ball that sells for $25. At present, t...

Questions in other subjects: