Question: A diner has a contribution margin ratio of 17%. If fixed costs are S176,800, how many dollars of revenue must the diner generate in order

A diner has a contribution margin ratio of 17%. If fixed costs are S176,800, how many dollars of revenue must the diner generate in order to reach the break-even point?
A) $282,880
B) $1,040,000
C) $1,060,800
D) $1,105,000

Step by Step Solution

★★★★★

3.46 Rating (162 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

B Contribution margin ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

1019-B-C-A-C-P-A(1781).docx

120 KBs Word File

Students Have Also Explored These Related Cost Accounting Questions!

What four environmental conditions that increase user demand for relevant and reliable information?

Multiple Choice Questions 1. If a company has a $25,000 reduction in sales and an increase of $7,000 in fixed costs with a contribution margin ratio of 34 percent, by how much will net income change?...

Wasabi Corp. has a contribution margin ratio of 45 percent. Product selling price per unit is $320, and total xed costs per year are $2,385,360. Required: (a) Using the contribution margin ratio,...

Quick Auto has over 200 auto-maintenance service outlets nationwide. It provides primarily two lines of service: oil changes and brake repair. Oil changerelated services represent 65% of its sales...

David's Diner has a contribution margin ratio of 16%. If fixed costs are $176, 800, how many dollars of revenue (sales) must David's generate in order to reach the break-even point? A) $1, 105,000 B)...

9. Johnson Company manufactures widgets. Old Ham Company has approached Jones with a proposal to sell the company one of the components used to make widgets at a price of $100,000 for 50,000 units....

10. Below is a performance report that compares budgeted and actual profit of Famous Beer for the month of April: Budget Actual Difference Sales $200,000 $202,000 $2,000 Less: Cost of ingredients...

Ritz Furniture has a contribution margin ratio of 0.12. If fixed costs are $179, 700 how many dollars of revenue must the company generate in order to reach the break-even point?

Thomas Train has collected the following information over the last six months. Month Units produced Total costs March 10,000 $25,600 April 12,000 26,200 May 19,200 29,600 June 13,000 26,450 July...

Question 2 (1 point) Rooter's Cleaning Services provided data concerning the costs incurred to clean hotel rooms for which hotel customers pay $150 per night. Data for the past 7 months are as...

1 (1 point) Question 1 Unsaved Thomas Train has collected the following information over the last six months. Month Units produced Total costs March 10,000 $25,600 April 12,000 26,200 May 19,800...

(True and False) 1. Most people who commit fraud are under financial pressure. 2. Studies have found that the most common internal control problem when frauds occur is having a lack of proper...

Apply a PESTEL analysis to BMW, Mercedes Benz or Audi (note: the same opportunities and threats will apply to each of them)

For the function f ( x ) = 3 x 3 - 5 x 2 5 x 4 , find f ' ' ( x ) . Then find f ' ' ( 0 ) and f ' ' ( 5 ) . f ' ' ( x ) =

On July 1, 2018, Molly Malone started her own business on as a self-employed salesperson. (By the way, there are 184 days from July 1 to December 31.) Molly's business is HST registered. The...

Suppose that X, Y, and Z are jointly distributed random variables, that is, they are defined on the same sample space. Suppose that we also have the following. E(X) = 6 Var (X) = 33 Var(Y) = 27 E(Y)...

Let Z be a standard normal.random variable. Use the calculator provided, or this table, to determine the value of c. P(-eszse) - 0.9729 Carry your intermediate computations to at least four decimal...

Suppose that the New England Colonials baseball team is equally likely to win a game as not to win it. If 5 Colonials games are chosen at random, what is the probability that exactly 2 of those games...

How many moles of potassium hydroxide would have to be added to 150 mL of a 0.363 M hydrocyanic acid solution, in order to prepare a buffer with a pH of 9.470? moles

You are a project manager for Dakota Software Consulting Services. Youre working with a major retailer that offers its products through mail-order catalogs. It is interested in knowing customer...

Determine by direct integration the centroid of the area shown. Express your answer in terms of a and b. y=

Determine by direct integration the centroid of the area shown.

Determine by direct integration the centroid of the area shown. Express your answer in terms of a and b. -y = 2b(1- kr) 2h

A liquid stream contains 0 . 0 2 mol % of solute B in water at 1 0 0 . 0 o C . Solute B will be removed from this liquid stream in a stripper using steam at 1 0 0 . 0 o C . Entering steam is pure...

CORPORATE VALUATION Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following free cash flows (FCFS) during the next 3 years, after which FCF is expected to...

Vincent Corp. preferred stock is selling for $80 per share in the market. This preferred stock has a par value of $100 and a dividend rate of 8 percent. Required: a) What is the current yield on the...