Profit margin is net income divided by net sales.
Answer the following statement true (T) or false (F)
True
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Which sentence is correctly punctuated?
A) Many companies now sell their products and services online, on the other hand, some companies focus exclusively on in-house sales. B) Many companies now sell their products and services online; on the other hand, some companies focus exclusively on in-house sales. C) Many companies now sell their products and services online; on the other hand, Some companies focus exclusively on in-house sales.
During its first year of operations, the McCormick Company incurred the following manufacturing costs: Direct materials, $5 per unit, Direct labor, $3 per unit, Variable overhead, $4 per unit, and Fixed overhead, $250,000. The company produced 25,000 units, and sold 20,000 units, leaving 5,000 units in inventory at year-end. Income calculated under variable costing is determined to be $315,000. How much income is reported under absorption costing?
A. $565,000 B. $365,000 C. $290,000 D. $315,000 E. $265,000
The term make-to-stock refers to ______.
a. products made in anticipation of a specific customer’s order b. products made after receiving a customer’s order c. products made in small volumes d. products that require little or no customization
Both Saturn Technologies and Granite Inc. incur a cost of $200 to manufacture a single unit of a cell phone. However, Saturn Technologies charges a higher price than Granite Inc. does, but it still sells a higher number of phones. What does this imply?
A. Granite Inc. is not charging enough for its product. B. Saturn Technologies creates more economic value than Granite Inc. does. C. Saturn Technologies and Granite have achieved a competitive parity. D. Granite Inc. has a competitive advantage over Saturn Technologies.