The following data are available for X Corp: Margin of safety 300; MS ratio 20%; Profit...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The following data are available for X Corp: Margin of safety 300; MS ratio 20%; Profit of 100 and FC of 200.00. What is the Variable cost ratio? 2. SCM Company currently sells a camera for P12,000. An aggressive competitor has announced plans for a similar product that will be sold for P10,250. SCM's marketing department believes that if the price is dropped to meet competition, unit sales will increase by 10%. The current cost to manufacture and distribute the camera is P8,750, and SCM has a profit goal of 20% of sales. If SCM meets competitive selling prices, what is the company's target cost? The following data are available for X Corp: Margin of safety 300; MS ratio 20%; Profit of 100 and FC of 200.00. What is the Variable cost ratio? 2. SCM Company currently sells a camera for P12,000. An aggressive competitor has announced plans for a similar product that will be sold for P10,250. SCM's marketing department believes that if the price is dropped to meet competition, unit sales will increase by 10%. The current cost to manufacture and distribute the camera is P8,750, and SCM has a profit goal of 20% of sales. If SCM meets competitive selling prices, what is the company's target cost?
Expert Answer:
Answer rating: 100% (QA)
1 To find the Variable Cost Ratio for X Corp we can use the formula Variable Cost Ratio Profit Fixed ... View the full answer
Related Book For
Accounting Business Reporting For Decision Making
ISBN: 9780730369325
7th Edition
Authors: Jacqueline Birt, Keryn Chalmers, Suzanne Maloney, Albie Brooks, Judy Oliver, David Bond
Posted Date:
Students also viewed these accounting questions
-
If ABC Company has a 9% ROS, income of P2,160, and an investment turnover of 2.4 times, divisional investment is? 2. ABC Company currently sells a camera for P12,000. An aggressive competitor has...
-
Franco Electronics currently sells a camera for $240. An aggressive competitor has announced plans for a similar product that will be sold for $205. Franco's marketing department believes that if the...
-
The Savannah Shirt Company makes two types of T-shirts: basic and custom. Basic shirts are plain shirts without any screen printing on them. Custom shirts are created using the basic shirts and then...
-
Given the graph of a degree 5 polynomial below, complete the table of values for either the x-value of a zero, or the multiplicity of the zero. Write roots in order from least to greatest. Root with...
-
Which type is easiest to measure?
-
Records for the past several years show that the amount of money collected daily by a prominent televangelist is normally distributed with a mean () of $20,000 and a standard deviation () of $5000....
-
An object is suspended from the ceiling by a spring aligned along a vertical \(x\) axis, with upward defined as the positive \(x\) direction. When the spring is at its relaxed length, the object is...
-
The Wearever Carpet Company manufactures two brands of carpetshag and sculpturedin 100-yard lots. It requires 8 hours to produce one lot of shag carpet and 6 hours to produce one lot of sculptured...
-
Definition of a contract? What are the various kinds of contracts? Also, define and distinguish between 'contracts of sale' and an agreement to sell?
-
The Cirrus Co. Plc has the following balances on its books at 31 December 20X9. The following information is also given: 1. The inventory at 31 December 20X9 has been valued at 32,000. Further...
-
Research about the concept of experiment and explain what you understood coherently.
-
Given that Na2O and SiO2 combine to form the silicate Na2SiO3, use the data below to show that the calcination of NaCO3 is only favourable in the presence of enough silica to form the silicate. All...
-
The Balanced Scorecard offers many advantages as compared to traditional management by objectives. It provides a thorough perspective of an institution's effectiveness to start. However, The Balanced...
-
The uniform 20-kg slender bar AC shown in Figure Q5 rotates in a vertical plane about the pin at B. The ideal spring AD has a spring constant k = 15 N/m and an un-deformed length Lo = 2 m. The bar,...
-
why Rowlandson work is important part of establishing an American literary tradition. You must use specific examples in your response.?
-
What are the advantages and disadvantages of autocratic and democratic leadership styles in organizations?
-
Practice Question 1 Some longer quotes are included in the practice questions to help you to develop your skills in critically evaluating arguments. Required: Critically evaluate the following quote....
-
On October 1, 2021, Adoll Company acquired 2,600 shares of its $1 par value stock for $38 per share and held these shares in treasury. On March 1, 2023, Adoll resold all the treasury shares for $34...
-
Explain the difference between mixed and variable costs. Provide examples of each.
-
Samuel and Vinnie decide to form a partnership on 1 January 2020. They secure the services of a solicitor to draw up their partnership agreement as follows. (a) Samuel is to contribute: His vehicle...
-
Base Company buys in sand, gravel, cement powder and steel reinforcement. These raw materials cost about $15 million most years. Base Company has recently enjoyed a surge in sales after it...
-
A project under consideration has a 10-year projected life. The initial investment for the project is estimated to have a mean of \(\$ 10,000\) and a standard deviation of \(\$ 1,000\). The annual...
-
True or False: In determining the optimum replacement interval, it is necessary to assume negligible salvage values.
-
Match the terms in the first column with an appropriate definition from the second column. Terms (a) Breakeven analysis (b) Sensitivity analysis (c) Risk analysis Definitions (1) Determining how the...
Study smarter with the SolutionInn App