Maurice Tutor

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Teaching Since: May 2017
Last Sign in: 402 Weeks Ago
Questions Answered: 66690
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

Experience

  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 17 Aug 2017 My Price 12.00

Ramirez Corporation

Question 1

Ramirez Corporation sells two types of computer chips. The sales mix is 30% (Q-Chip) and 70% (Q-Chip Plus). Q-Chip has variable costs per unit of $60 and a selling price of $100. Q-Chip Plus has variable costs per unit of $70 and a selling price of $130. The weighted-average unit contribution margin for Ramirez is

a.) $46

b.) $100

c.) $50

d.) $54

Question 2

Chung Inc. is considering the replacement of a piece of equipment with a newer model. The following data has been collected:

 

Old Equipment

New Equipment
Purchase price $225,000 $375,000
Accumulated depreciation    90,000      - 0 -
Annual operating costs   300,000 240,000


If the old equipment is replaced now, it can be sold for $60,000. Both the old equipmentAc€?cs remaining useful life and the new equipmentAc€?cs useful life is 5 years.

Which of the following amounts is irrelevant to the replacement decision?

Question 3

If contribution margin is $120,000, sales is $300,000, and net income is $40,000, then variable and fixed expenses are

 

Variable

  

Fixed

Question 4

Swanson Company has two divisions; Sporting Goods and Sports Gear. The sales mix is 65% for Sporting Goods and 35% for Sports Gear. Swanson incurs $4,440,000 in fixed costs. The contribution margin ratio for Sporting Goods is 30%, while for Sports Gear it is 50%. The break-even point in dollars is

Answers

Maurice Tutor
(5)
Status NEW Posted 17 Aug 2017 09:08 PM My Price 12.00

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