Provide an Appropriate Response $\$ 35,000$ And $\$ 50,000$ Per Year A) 174%
B) 4

question 6

Multiple Choice

Provide an appropriate response.
-The following data represent the living situation of newlyweds in a large metropolitan area and their annual household income. What percent of people who own their own home make between $\$ 35,000$ and $\$ 50,000$ per year?
$\begin{array}{l|c|c|c|c|c} & <\$ 20,000 & \$ 20-35,000 & \$ 35-50,000 & \$ 50-75,000 & >\$ 75,000 \\\hline \text { Own home } & 31 & 52 & 202 & 355 & 524 \\\text { Rent home } & 67 & 66 & 52 & 23 & 11 \\\text { Live w/family } & 89 & 69 & 30 & 4 & 2\end{array}$

• A) 17.4%
• B) 4.5%
• C) 30.5%
• D) 71.1%

Analyze the effect of sales forecasts on production and budgeting decisions.

Determine the budgeted cost of goods manufactured by considering direct materials, direct labor, and factory overhead costs.

Calculate the budgeted sales revenue and assess its impact on financial planning.

Understand the concept of cash flow management including receipts and payments.

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Definitions:

Administrative Expenses

Overheads and expenses associated with the general operation of a business.

Client-Visits

Refers to the occasions on which a service provider or salesperson visits clients at their location to build relationships, offer support, or close sales.

Planning Budget

A budget designed for a particular level of activity, often used for planning and forecasting purposes.

Direct Labor

Factory labor costs that can be easily traced to individual units of product. Also called touch labor.