Barclay Bikes Manufactures and Sells Three Distinct Styles of Bicycles

question 36

Multiple Choice

Barclay Bikes manufactures and sells three distinct styles of bicycles: the Youth model sells for $300 and has a unit contribution margin of $105; the Adult model sells for $850 and has a unit contribution margin of $450; and the Recreational model sells for $1,000 and has a unit contribution margin of $500.The company's sales mix includes: 5 Youth models; 9 Adult models; and 6 Recreational models.If the firm's annual fixed costs total $6,500,000,calculate the firm's contribution margin per composite unit.

• A)$1,055.
• B)$1,950.
• C)$1,255.
• D)$7,575.
• E)$1,500.

Simplify radical expressions involving variables.

Understand the primary and additional goals of the business planning process.

Comprehend the components and importance of a financial plan within business planning.

Recognize the relationship between business plans and executive decision-making, including bonuses and financing needs.

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Definitions:

Incumbent Governor

The currently serving governor in office, usually in the context of elections to refer to the existing officeholder.

Confidence Level

The percentage or proportion of times that an estimated interval is expected to contain the true value of the parameter.

Interval Estimate

An estimate of a population parameter that specifies a range within which the parameter is estimated to lie.

Population Parameter

Any numerical quantity that characterizes a given population or some aspect of it.