By what amount will net income increase

Assignment Help Accounting Basics
Reference no: EM131826372

Question - Ajani Company has variable costs equal to 40% of sales. The company is considering a proposal that will increase sales by $10,000 and total fixed costs by $6,000. By what amount will net income increase?

A. $6,000

B. $4,000

C. $2,000

D. $0

Reference no: EM131826372

Questions Cloud

What is the firm required rate of return : Moerdyk Company's stock has a beta of 1.40, the risk-free rate is 4.25%, and the market risk premium is 5.50%. What is the firm's required rate of return?
What is the volume of sales in units required : Shah, Inc. produces a product that has a variable cost of $6.00 per unit. What is the volume of sales in units required to achieve the target profit
What is your personal reaction to the text : In what ways do the two articles coincide with one another? Since both articles mention our home state, what is your personal reaction to the text?
Decisions are based on ambiguous accounting standards : justified as the most acceptable financial objective of a firm because profit-maximizing decisions are based on ambiguous accounting standards.
By what amount will net income increase : The company is considering a proposal that will increase sales by $10,000 and total fixed costs by $6,000. By what amount will net income increase
What is the domain of the function : This function has only one vertical asymptote, whose equation is x= 5 . It is also known that the function is undefined for one more x value, which is negative.
Find an equation for the line tangent to the graph : Find h'=(x) and find an equation for the line tangent to the graph of h at x=0.
What is the effect of recording the fair value option : Fallen Company commonly issues long-term notes payable to its various lenders. What is effect of recording fair value option on these notes on Fallen's income
Discuss whether or not human should strive to representative : Discuss whether or not humans should strive to preserve representative samples of all biomes on the planet, and if so, how that might be accomplished.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Analyze jeemp farms and what information you will consider

Jeemp Analysis Assignment- Write a 200- to 250-word paper analyzing Jeemp Farms and what data and information you will consider.

  Explain those accounts that remain open and why

Explain those accounts that remain open and why. Why these account are closed and certain accounts remain open without posting transactions to the computerized?

  Calculate the gross profit and cost of goods sold for mbi

mbi inc. had sales of 141.6 million for fiscal 2010. the companys gross profit ratio for that year was

  Make stockholders equity section of patterson balance sheet

Prepare the stockholders' equity section of Patterson's balance sheet (in thousands). How can Patterson have a larger balance of treasury stock

  Walsh company expects sales of product w to be 60000 units

walsh company expects sales of product w to be 60000 units in april 75000 units in may and 70000 units in june. the

  Property tax expense that cee & co. would record

Cee & Co.'s fiscal year begins April 1. At the beginning of its fiscal year, Cee & Co.

  Worth hawes manufacturing

Worth Hawes Manufacturing.

  What are the arguments for giving separate accounting

What are the arguments for giving separate accounting recognition to the conversion feature of debentures?

  If he does not participate in an employer-sponsored plan

john has earned income of 3300. he has 30300 of unearned capital gain income.a. if he does not participate in an

  Compute the given solvency ratios for the companies

Compute the following solvency ratios for the two companies and comment on the relative solvency of the two competitors.

  Competitors or industry average

What is the company's ROA compared to its competitors or industry average? Is it getting better or worse over time?

  The machinery had been purchased by lisa company

On January 1, 2010, Lisa Company sold machinery with a book value of $118,000 to Mark Company.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd