At the breakeven point, the total contribution margin
A) is at the maximum.
B) minus total fixed costs equals a negative number.
C) equals fixed costs.
D) is at the minimum.
C
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Independence in mental attitude is required of auditor on all audit engagements. Which statement best describes the highest goal for independence?
a. To comply with the AICPA Professional Code of Conduct. b. To be independent in fact and appearance. c. To be an advocate for shareholders. d. To be in compliance with SEC regulations.
Attitudes and behaviors are not as persuasive as words
Indicate whether the statement is true or false
Dracor Company is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment is expected to cost $280,000 with a 7-year life, no salvage value, and will be depreciated using straight-line depreciation. The expected annual income related to this equipment follows. Compute the (a) payback period and (b) accounting rate of return for this equipment.Sales?$900,000?Costs:???Manufacturing$545,000??Depreciation on machine40,000??Selling and administrative expenses249,000(834,000)?Income before taxes?66,000?Income tax (30%)? ( 19,800)?Net income?$ 46,200?
What will be an ideal response?
Which of the following statements about eligibility requirements for homeowners insurance is (are) true?
I. A contract can be written on a twenty-unit apartment complex as long as the tenants are families. II. Separate forms are available for renters and condominium owners. A) I only B) II only C) both I and II D) neither I nor II c