Top Posters
Since Sunday
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
r
4
Home Q & A Board Other Fields Homework Help Business Accounting
New Topic  
zurainzlpt zurainzlpt
wrote...
Go to Answer
Posts: 324
Rep: 18 0
5 years ago
Tiger Pride produces two product lines: T-shirts and Sweatshirts. Product profitability is analyzed as follows:

T-SHIRTSSWEATSHIRTS
Production and sales volume60,000 units35,000 units
Selling price$16.00$29.00
Direct material$ 2.00$ 5.00
Direct labor$ 4.50$ 7.20
Manufacturing overhead$ 2.00$ 3.00
Gross profit$ 7.50$13.80
Selling and administrative$ 4.00$ 7.00
Operating profit$ 3.50$ 6.80

What is the projected decline in operating income if the direct materials costs of T-Shirts increase to $3.50 per unit and direct labor costs of Sweatshirts increase to $13.00 per unit?
A) $293,000
B) $90,000
C) $203,000
D) $473,000
Read 558 times
4 Replies
Replies
Answer verified by a subject expert
Ingrid B.Ingrid B.
wrote...
#1
Posts: 199
Rep: 38 0
5 years ago
Sign in or Sign up in seconds to unlock everything for free

Related Topics

wrote...
#2
4 years ago
good answer
wrote...
#3
4 years ago
Thank you
wrote...
#4
4 years ago
thanks
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1266 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 669
  
 692
  
 938
Your Opinion
Do you believe in global warming?
Votes: 370
Previous poll results: Should Ph.D.'s be addressed as doctors?