SHOW SOLUTION SHOW ANSWER LINK TO TEXT LINK TO TEXT LINK TO TEXT SHOW SOLUTION S
ID: 2566440 • Letter: S
Question
SHOW SOLUTION
SHOW ANSWER
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
SHOW SOLUTION
SHOW ANSWER
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
SHOW SOLUTION
SHOW ANSWER
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
SHOW SOLUTION
SHOW ANSWER
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
Jorge Company bottles and distributes B-Lite, a diet soft drink. The beverage is sold for 50 cents per 16-ounce bottle to retailers, who charge customers 75 cents per bottle. For the year 2017, management estimates the following revenues and costs.Sales $1,600,000 Selling expenses—variable $50,000 Direct materials 450,000 Selling expenses—fixed 45,000 Direct labor 300,000 Administrative expenses—variable 40,000 Manufacturing overhead—variable 360,000 Administrative expenses—fixed 40,000 Manufacturing overhead—fixed 227,500
Explanation / Answer
Unit variable costs = (450000+300000+360000+50000+40000)/3200000= 0.375 Fixed costs = 227500+45000+40000= 312500 Required sales dollars =(312500+162500)/(0.5-0.375)= 3800000
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.