Why do many department stores seek a markup
Why do many department stores seek a markup of about 30 percent when some discount houses operate on a 20 percent markup?
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Easy Decorating uses a job order costing system to collect the costs of its interior decorating business. Each client's consultation is treated as a separate job.
Johnson Manufacturing incurs unit costs of $7.88 ($5.09 variable and $2.79 fixed) in making a sub-assembly part for its finished product. A supplier offers to make 12,600 of the assembly part at $5.54 per unit.
Luca Company overapplied manufacturing overhead during 2006. Which one of the following is part of the year end entry to dispose of the overapplied amount assuming the amount is material?
Seran Company has contacted Truckel Inc. with an offer to sell it 5,000 of the wickets for $18 each. If Truckel makes the wickets, variable costs are $11 per unit.
Assume that the operating resluts for last year were: Sales $400K, Variable Exp. 160K, CM 240K, FE 180K, Net operating income $60K.Compute the degree of operating leverage at the current level of sales.
Stephen Bosworth, a super salesman contemplating retirement on his fifty-fifth birthday, decides to create a fund on an 8% basis that will enable him to withdraw $30,000 per year on June 30, beginning in 2016 and continuing through 2019.
What is the present value of $9,280 to be received at the end of each of 19 periods, discounted at 5% compound interest? (Round answers to 0 decimal places, e.g. $458,581.)
Instructions: Compute the required sales needed to achieve management's target net income of $68,610. Use the mathematical equation approach. ?
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