Kramer Enterprises reports year-end information from 2015
Kramer Enterprises reports year-end information from 2015 as follows:
Â
    Sales (160,000 units) $960,000
    Cost of goods sold 640,000
    Gross margin 320,000
    Operating expenses 260,000
    Operating income $60,000
Â
Kramer is developing the 2016 budget. In 2016 the company would like to increase selling prices by 12.5%, and as a result expects a decrease in sales volume of 9%. All other operating expenses are expected to remain constant. Assume that cost of goods sold is a variable cost and that operating expenses are a fixed cost.
What is budgeted sales for 2016?
Â
Question 5 options:
|
$1,080,000
|
|
$1,000,000
|
|
$982,800
|
|
$873,600
|
Answers
Status NEW
Posted 20 Dec 2017 06:12 AM
My Price 10.00
----------- Â ----------- H-----------ell-----------o S-----------ir/-----------Mad-----------am ----------- Th-----------ank----------- yo-----------u f-----------or -----------usi-----------ng -----------our----------- we-----------bsi-----------te -----------and----------- ac-----------qui-----------sit-----------ion----------- of----------- my----------- po-----------ste-----------d s-----------olu-----------tio-----------ns.----------- Pl-----------eas-----------e p-----------ing----------- me----------- on----------- ch-----------at -----------I a-----------m o-----------nli-----------ne -----------or -----------inb-----------ox -----------me -----------a m-----------ess-----------age-----------
Not Rated(0)