During a recent month, Cantho Company planned to provide cleaning services to 30 customers for $26 per hour. Each job was expected to take 6.0 hours. Thecompany actually served 10 more customers than expected, but the average time spent on each job was only 5.5 hours each. Cantho's revenues for the month wereOA $1,040 less than expectedOB. $1.560 more than expectedOC. $1.040 more than expectedOD. Cannot be determined from data given

Revenues are estimated on the basis of past experiences and therefore it is planned what the price…

Answered: During a recent month, Cantho Company…

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter3: Cost Behavior

Section: Chapter Questions

Problem 27E: Alard Manufacturing Company has a billing department staffed by four billing clerks. Each clerk is...

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Cadre, Inc., sells a single product with a selling price of $120 and variable costs per unit of $90. The companys monthly fixed expenses are $180,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of October when they will sell 10,000 units. How many units will Cadre need to sell in order to realize a target profit of $300,000? What dollar sales will Cadre need to generate in order to realize a target profit of $300,000? Construct a contribution margin income statement for the month of August that reflects $2,400,000 in sales revenue for Cadre, Inc.
Alard Manufacturing Company has a billing department staffed by four billing clerks. Each clerk is paid 32,000 per year and is able to process 8,000 bills. Last year, 27,360 bills were processed by the four agents. Calculate the unused capacity in terms of number of bills. a. 27,360 b. 4,640 c. 8,000 d. 32,000
How many customers and what revenue will the resturant need each month to break even? The monthly costs consist of rent of $10,000, interest of $3,500, fixed labor costs of $12,000, other variable costs are 27% of revenue. The guest check average is $14.50.
During a recent month, Cleveland Company planned to provide cleaning services to 30 customers for $25 per hour. Each job was expected to take 3 hours. The company actually served 10 more customers than expected, but the average time spent on each job was only 2.5 hours each. Cleveland’s revenues for the month were $250 more than expected. $250 less than expected. $750 more than expected. Cannot be determined from data given
A factory has fixed monthly costs of $32,000. Each product costs $6 in variable costs. During the month the company sold 12,000 products at $10 each. What is the profit for each item? $ (blank) What is the break even point production amount? (blank) What was the profit or loss during the month? $ (blank)
R&R Savings Bank finds that its basic transaction account, which requires a $1000 minimum balance, costs this savings bank an average of $3.25 per month in servicing costs (including labor and computer time) and $1.25 per month in overhead expenses. The savings bank also tries to build in a $0.50 per month profit margin on these accounts. Further analysis of customer accounts reveals that for each $100 above the $500 minimum in average balance maintained in its transaction accounts, R&R Savings saves about 5 percent in operating expenses with each account. (Note: If the bank saves about 5 percent in operating expenses for each $100 held in balances above the $500 minimum, then a customer maintaining an average monthly balance of $1,000 should save the bank 25 percent in operating costs) For a customer who consistently maintains an average balance of $1,200 per month, how much should the bank charge in order to protect its profit margin? 05.00 4.68 O 0.32 325
Ashland Company manufactures and sells a single product. The company's sales and expenses for a recent month are as follows: (a) What is the monthly break-even point in units sold and in sales dollars?(b) How many units would have to be sold each month to earn a minimum target net income of $50,000?
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Your Company consists of two stores, A and B. Store A had sales of $80,000 during March, a contribution margin ratio of 30%, and a segment margin of $11,000. The company as a whole had sales of $200,000, a contribution margin ratio of 36%, and segment margins for the two stores totaling $31,000. If net operating income for the company was $15,000 for the month, what were the traceable fixed expenses in Store B?
A manufacturing company has to produce and sell 228 items every month to break even. The company's fixed costs are $2,253.50 per month and variable costs are $10.00 per item. a. What is the total revenue at the break-even point? Round to the nearest cent b. What is the selling price per item? Round to the nearest cent
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Jake's Roof Repair has provided the following data conceming its costs: Fixed Cost per Month $ 20,800 Cost per Repair-Hour $15.00 $ 7.70 $ 0.55 $ 1.90 Wages and salaries Parts and supplies Equipment depreciation Truck operating expenses Rent Administrative expenses For example, wages and salaries should be $20,800 plus $15.00 per repair-hour. The company expected to work 2,700 repair-hours in May, but actually worked 2,600 repair-hours. The company expects its sales to be $47.00 per repair-hour. $ 2,800 $ 5,720 $ 4,670 $3,860 Revenue Required: Compute the company's activity variances for May. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) $ 0.70 Jake's Roof Repair Activity Variances For the Month Ended May 31 Prev 13 of 13 Next

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