Question

A)

Lagerfeld Company reported thefollowing results from the sale of 5,000 hammers in May: sales$200,000; variable costs $120,000; fixed costs $60,000; and netincome $20,000. Assume that Lagerfeld increases the selling priceof hammers by 10% on June 1. How many hammers will have to be soldin June to maintain the same level of net income?

4,000.
4,300.
4,500.
5,000.

B)

Dolce Company is planning tosell 400,000 hammers for $1.50 per unit. The contribution marginratio is 20%. If Dolce will break even at this level of sales, whatare the fixed costs?

$120,000.
$280,000.
$400,000.
$480,000.

C)

If 30,000 units are startedinto production and 12,000 units are in process at the end of theperiod, how many units were completed and transferred out?

30,000 units.
12,000 units.
18,000 units.
42,000 units.