Cantor Products sells a product for $87. Variable costs per unit are $33, and monthly fixed costs are $205,200. Answer the following questions: Required: a. What is the break-even point in units? b. What unit sales would be required to earn a target profit of $421,200? c. Assuming Cantor achieves the level of sales required in part b, what is the degree of operating leverage? […]

Scott and Cathy Thompson have eight children, each of whom participates in social and sports activities. It became much more convenient for the family schedule when the children were old enough to drive themselves and their siblings to practices and events. As soon as each child obtained a driver’s license, Scott made keys to the family cars for that child and presented them on a […]

Suppose the industry demand curve for tennis rackets is: P = 100 -0.02Q. The industry supply curve is .03Q. The industry is perfectly competitive. The Serena Company is one of the competing firms in this industry. Its SRTC = 10,000+.075q, where q = the quantity of rackets produced by the company. The SRMC for this cost function is .15q. a. (1 point)) Derive the current […]

Tim Credence and Jim Kulak set up a new limited liability company on July 20, 2020. Tim contributes a machine and land worth a combined $866,000. Market value of the machine is $348,000. Jim contributes $959,000 in cash. Write the journal entry to record the contributions to the LLC.

The Aguilar Corporation had the following tabular analysis, using the same abbreviations as those used in class: Liabilities N/P 2,900 Owner’s Equity C/S R/E 8,800 Cash 12,500 A/R 2,500 Pre. Exp. 0 Assets Supp. 320 Equip. 0 A/D 0 A/P 180 3/1 Customers purchased services in advance of $300 which will be performed later. 3/1 3/1 3/1 3/12 3/18 Purchased supplies of $130 on account. […]

The following is a list of account titles and amounts (in millions) reported at December 30, 2018, by Hasbro, Incorporated, a leading manufacturer of games, toys, and interactive entertainment software for children and familles: Accounts Receivable Accumulated Amortization Accumulated Depreciation Allowance for Doubtful Accounts Buildings Cash and Cash Equivalents $ 1,200 720 465 10 190 1,180 Equipment Goodwill Inventory Land Licensing Rights Prepaid Rent $ […]

Use the formula for calculating a taxpayer’s medical expense deduction. Make sure to properly label each medical expense and provide an explanation for any medical expenses that are nondeductible in the letter. Embed your spreadsheet into the letter. During the current year Denise has paid the following medical expenses: Drugs (prescribed by a physician$1,850 Marijuana (prescribed by a physician) $2,125 Health Insurance Premiums – After […]

Public policy has been broadly defined as a set of courses of action, regulatory measures, laws, and guiding principles relating to any matter of public concern that has been established by any government entity or department or any of its legitimate representatives, in the interest of the public. Public policy serves as a tool or instrument for identifying issues of national concern or problems, implementing […]

Calculate the return-on-investment for this scenario. A large automobile dealership decides to provide a one-day onsite training for its sales associates to help them be effective in explaining the features and benefits of extended warranties. The dealership sells 3,500 automobiles a year. Before the training, only 25% of customers purchased an extended warranty. After the training, 30% of customers are purchasing the extended warranty. Extended […]

Modified Budgeting (MB) approach was implemented in 1990 through the issuance of Treasury Circular No. 11/1990 to overcome the weaknesses of Programme and Performance Budgeting (PPB). MB was regarded as the modification to PPB and it consisted of four important elements namely; expenditure target, programme agreement and exception report, a cycle of programme evaluation and a more generalised approach to expenditure control. The main concept […]