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Dropping a segment - George's Grill analyzes profitability of three operating units: restaurant, bar, and billiards room. Revenues, variable costs, and attributable fixed costs (which can be avoided if the unit is eliminated) for each unit are as follows:__________________________Restaurant Bar Billiards RmRevenue $320,000 $150,000 $40,000Variable costs 120,000 35,000 10,000Attributable fixed costs 80,000 25,000 15,000George the owner, is considering converting the billiards area into an expanded bar area.a)Ignoring remodeling costs, by how much will the bar segment margin have to increase for the grill's income to be at least as high as it is now?b)What other considerations will George want to consider before making the decision to eliminate the billiards unit to expand the bar area?
The Federal Reserve adjusts short term interest rates based upon their perceptions of the needs in the economy. Please describe the ways the Federal Reserve can influence interest
LaNora White received her accounting degree in 1992. Since graduating, she has obtained significant experience in a variety of job settings. Her skills include auditing, income and
Rediger Inc. a manufacturing company, has provided the following data for the month of June. The balance in the Work in Process inventory account was $22,000 at the beginning of th
Q. Is it possible to execute fca in the deficiency of a general ledger accounting system ? Ans. Yes. FCA can be executed for whichever solid waste management system and whi
on june 2005 20 units of the product in stock the following is extracted from the companys books direct material-200 per unit,direct labour 150 per unit, variable production overhe
A small company employing around 25 people manufactures and sells anthropometric measuring equipment - equipment used mainly in hospitals to measure the height and other dimensions
Explanations on the correct fixation of selling price
A manufacturing company wants to package its product in a rectangular box with a square base and a volume of 32 cubic inches. The cost of the material used for the top is $.05 squa
Limitations of CVP Analysis The make use of the basic CVP model is just only relevant to planning and decision-making in an activity range whether the basic cost and revenue b
Hello, I''m currently doing a research on a company and planning an Activity Based Costing system since the company is using Traditional Costing system to allocate the overhead to
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