Question: Q6 A. Determine the missing amounts( 1.5 marks) S.No Unit Selling Unit Variable Contribution Margin Contribution Margin Price Cost per unit Ratio 1550 370 1500
Q6 A. Determine the missing amounts( 1.5 marks) S.No Unit Selling Unit Variable Contribution Margin Contribution Margin Price Cost per unit Ratio 1550 370 1500 (c) 600 3 (e) 900 (a) B. For Al Farabi Company, variable costs are 75% of sales, and fixed costs are $210,000.Management's net income goal is $70,000. Compute the required sales needed to achieve management's target net income of $70,000. (Use the mathematical equation approach.) (1.5 marks) C. Company A's costs are mostly variable, whereas Company B's costs are mostly fixed. When sales increase, which company will tend to realize the greatest increase in profits? Explain. (2 Marks)
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