Brankov Company has budgeted sales of $30,000 with the following budgeted costs:
Direct materials $6,300
Direct labor $4,100
Variable factory overhead $3,700
Fixed factory overhead $5,600
Variable selling and administrative costs $2,400
Fixed
selling and administrative costs $3,200
What is the average target markup percentage for setting prices as a percentage of variable manufacturing costs?
A) 53%
B) 76%
C) 113%
D) none of the above
C
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Ten years ago, Tom purchased a painting for $300. The painting is now worth $1,020. Tom could have deposited $300 in a savings account paying 12 percent interest compounded annually
Which of these two options would have provided Tom with a higher return?
Outlaws is a general goods retail chain in the High Plains region. Outlaws is forecasting its financial statements for Year 7. Selected financial information for Year 6 is provided in the table
What is long term debt, the plug variable, for the forecasted year? To calculate forecasted current liabilities use the percentage of sales method based on Year 6 figures. Assume that no dividends are paid in Year 7. Selected Financial Information Outlaws Inc ($ millions) Year 6 Forecast Revenue $29,210 $30,817 Net Income $627 $685 TOTAL ASSETS $14,700 $14,645 LIABILITIES AND STOCKHOLDERS' EQUITY Total Current Liabilities 3,651 Long Term Debt 4,208 Shareholders' Equity Common Stock 1,192 1,192 Retained Earnings 5,089 Total Shareholders' Equity 6,281 Total Liabilities & Shareholders' Equity 14,700 A) $3,859 B) $3,336 C) $3,827 D) $6,397 E) $10,236