The Axle Division of LaBate Company Makes and Sells Only

question 115

Multiple Choice

The Axle Division of LaBate Company makes and sells only one product. Annual data on the Axle Division's single product follow:
$\begin{array}{|l|r|}\hline \text { Unit Selling Price } & \$ 50 \\\hline \text { Unit Variable Cost } & \$ 30 \\\hline \text { Total Fixed Costs } & \$ 200,000 \\\hline \text { Average Operating Assets } & \$ 750,000 \\\hline \text { Minimum Required Rate of Return } & 12 \% \\\hline\end{array}$
-If Axle sells 16,000 units per year,what would be the return on investment?

• A) 12%.
• B) 15%.
• C) 16%.
• D) 18%.

Understand the structure and processing of mRNA, including exon and intron organization.

Explain the formation and function of glycoproteins in cells.

Understand different types of technical drawing views and their applications.

Recognize the terminology and abbreviations used in drafting.

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Definitions:

Collude

To collude means to cooperate or conspire in secret, especially with the intention to cheat or deceive others, such as companies agreeing to fix prices.

Total Revenue

The total amount of money generated by a company from sales of its products or services before any expenses are subtracted.

Price Effect

The impact on the market when there is a change in the price of goods or services, influencing the supply and demand.

Output Effect

The change in total revenue resulting from the production of additional units of output in a competitive market.