Krazy Kayaks Sells Its Entry-Level Kayaks for $750 Each

question 18

Multiple Choice

Krazy Kayaks sells its entry-level kayaks for $750 each. Its variable cost is $500 per kayak. Fixed costs are $25,000 per month for volumes up to 1100 kayaks. Above 1100 kayaks, monthly fixed costs are $60,000. What is the budgeted operating income at a level of 2500 kayaks per month?

• A)$625,000
• B)$1,815,000
• C)$565,000
• D)$600,000

Identify how external factors, like creditors' rights and court judgments, can impact partnership operations and partner liabilities.

Recognize different forms and the significance of legal documents in establishing and governing partnerships, such as articles of partnership.

Understand the legal principles governing partnerships, including formation, operation, and dissolution.

Recognize the duties and responsibilities of partners to the partnership and to each other.

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Definitions:

Autonomic Nervous System

The part of the nervous system that controls involuntary bodily functions, including heart rate, digestion, and respiratory rate.

Blood Vessels

Tubular structures carrying blood through the tissues and organs; a vein, artery, or capillary.

Internal Organs

Organs located inside the body that perform essential functions necessary for survival, such as the heart, liver, and kidneys.

Somatic Nervous System

A part of the peripheral nervous system associated with the voluntary control of body movements via skeletal muscles.