During its first year of operations, Silverman Company paid $11,625 for direct materials and $11,000 for production workers' wages. Lease payments and utilities on the production facilities amounted to $10,000 while general, selling, and administrative expenses totaled $3500. The company produced 7250 units and sold 4500 units at a price of $7.00 a unit. What is the amount of gross margin for the first year?
A. $8875
B. $12,375
C. $ 31,500
D. $11,250
Answer: D
Business
You might also like to view...
What does assessing user feedback involve?
Business
One year is the conventional cutoff for distinguishing a current and a noncurrent asset or liability, because the operating cycle for most firms is one year or less
Indicate whether the statement is true or false
Business
Adoption of a low-cost strategy may lead to a decrease in which of the following?
a. Volume b. Flexibility c. Customer complaints d. Warranty claims
Business
The accrual basis of accounting requires adjustments to recognize revenues in the periods they are earned and to match expenses with revenues.
Answer the following statement true (T) or false (F)
Business