mattmore0312
29.07.2019 •
Business
Marino company is currently selling 10,000 units of its product per month at $10.40 per unit for total monthly sales of $104,000. the company's variable expenses are $4.20 per unit and its monthly fixed expenses total $10,400. an increase in the advertising budget of $4,400 is expected to increase its monthly sales by 1,000 units for total monthly sales of $114,400. this proposal will cause net operating income to:
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Ответ:
Ответ:
$3,860
Explanation:
Value of stock at the end of Firm T:
Firm T has stock of 20 tires at the end of the year
The cost price is $28 per tire
Value = Closing stock * Cost price of each tIres
Value = 20 * $28
Value = $560
Value of stock at the end of Firm B:
Firm B has stock of 10 bicycles at the end of the year
The cost price is $330 each
Value = Closing stock * Cost price of each bicycle
Value = 10 * $330
Value = $3,300
Value of the inventory investment = Value of stock at the end of Firm T + Value of stock at the end of Firm B
Value of the inventory investment = $560 + $3,300
Value of the inventory investment = $3,860