Intricate Computer Solutions Provides Services to Corporate and Individual Customers

question 125

Multiple Choice

Intricate Computer Solutions provides services to corporate and individual customers.During the month of June,the corporate business segment provided services to 300 customers and earned $70,000 in revenue.The individual business segment provided services to 300 customers and earned $40,000 in revenue.The variable costs for the corporate and individual business segments amounted to $33,000 and $25,100,respectively.In addition,the fixed costs of the company amounted to $8000.Calculate the contribution margin from each corporate customer.(Round your answer to the nearest cent.)

• A)$49.67
• B)$96.67
• C)$23.00
• D)$123.33

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Definitions:

Semiannually

Occurring or payable twice each year.

Present Value Table

A table used to determine the present value of a cash flow or series of cash flows to be received in the future, based on a certain discount rate.

Loan Agreement

A legally binding contract between a borrower and a lender, detailing the terms and conditions of a loan.

Interest

The cost of borrowing money, typically expressed as a percentage of the principal amount, or the income earned from lending funds.