Nizwa Co. has the following information available for December 2019:Total fixed costsOMR 240,000Units sold400Unit selling price of a TV unit OMR 2,000Unit variable costsOMR 500The contribution margin ratio is:Select one:O a. 0.75O b. 600,000Oc 0.25d. None of the answers are correcte. 1,500

The contribution margin is the amount left after subtracting the variable costs from the selling…

Answered: contribution margin ratio

Business

Accounting

contribution margin ratio

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 5PB: Wellington, Inc., reports the following contribution margin income statement for the month of May....

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The cost data for Evencoat Paint for the year 2019 is as follows: Using the high-low method, express the companys maintenance costs as an equation where x represents the gallons of paint produced. Then estimate the fixed and variable costs. Predict the maintenance costs i190,000 gallons of paint are produced. Predict the maintenance costs if 81,000 gallons of paint are produced. Using Excel, create a scatter graph of the cost data and explain the relationship between gallons of paint produced and equipment maintenance expenses.
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