subject
Business, 27.02.2020 20:28 deneshau

Swola Company reports the following annual cost data for its Single product.

Normal Product Level: 75,000 Units
Direct Materials: $1.25 per units
Direct Labour $2.50 per units
Variable Overhead $3.75 per units
Fixed Overhead $300,000 in total

This product is normally sold for $25 per unit. If Swola increases its production to 200,000 units, while sales remain at the current 75,000 unit level, by how much would the company's gross margin increase or decrease under absorption costing?

a. $112,500 decrease.
b. $187,500 increase.
c. There will be no change in gross margin.
d. $112,500 increase.
e. $187,500 decrease.

ansver
Answers: 1

Other questions on the subject: Business

image
Business, 21.06.2019 20:30, Scourge927
marketing strategies should be established before marketing objectives are decided. t/f
Answers: 1
image
Business, 22.06.2019 03:00, nyceastcoast
How does having a flexible mind you become a better employee? a. it you become more honest toward work. b. it you become a team player. c. it you learn new things that will better your performance. d. it you to finish your work on time. e. it you reach work on time
Answers: 1
image
Business, 22.06.2019 07:40, perlacruz0505
Shelby company produces three products: product x, product y, and product z. data concerning the three products follow (per unit): product x product y product z selling price $ 85 $ 65 $ 75 variable expenses: direct materials 25.50 19.50 5.25 labor and overhead 25.50 29.25 47.25 total variable expenses 51.00 48.75 52.50 contribution margin $ 34.00 $ 16.25 $ 22.50 contribution margin ratio 40 % 25 % 30 % demand for the company’s products is very strong, with far more orders each month than the company can produce with the available raw materials. the same material is used in each product. the material costs $8 per pound, with a maximum of 4,400 pounds available each month. required: a. compute contribution margin per pound of materials used. (round your intermediate calculations and final answers to 2 decimal places.) contribution margin per pound product x $ product y $ product z $ b. which orders would you advise the company to accept first, those for product x, for product y, or for product z? which orders second? third? product x product y product z
Answers: 3
image
Business, 22.06.2019 16:30, nculberson6
Who got instagram! ? if you do give it to me
Answers: 1
You know the right answer?
Swola Company reports the following annual cost data for its Single product.

Normal Pro...

Questions in other subjects: