Dake Corporation's relevant range of activity is 2,000 units to 6,000 units. When it produces and sells 4,000 units, its average costs per unit are as follows: Average Cost per UnitDirect materials$6.55Direct labor$3.50Variable manufacturing overhead$1.40Fixed manufacturing overhead$2.60Fixed selling expense$0.70Fixed administrative expense$0.40Sales commissions$1.50Variable administrative expense$0.45For financial reporting purposes, the total amount of period costs incurred to sell 4,000 units is closest to:
A. $12,200
B. $8,100
C. $4,400
D. $7,800
Answer: A
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Keyton Corporation's net operating income in Year 2 was $43,714, net income before taxes was $30,714, and the net income was $21,500. Total common stock was $200,000 at the end of both Year 2 and Year 1. The par value of common stock is $4 per share. The company's total stockholders' equity at the end of Year 2 amounted to $1,148,000 and at the end of Year 1 to $1,130,000. The company declared and paid $3,500 dividends on common stock in Year 2. The market price per share was $8.43 at the end of Year 2. The company's dividend payout ratio for Year 2 is closest to: (Round your intermediate calculations to 2 decimal places.)
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