Answer the Following Question(s)using the Information Below

question 134

Multiple Choice

Answer the following question(s) using the information below.The following information is for the Jeffries Corporation:

-What is the operating income, assuming actual sales total 25,000 units, and the sales mix is three units of Product A and one unit of Product B?

• A)$300,000
• B)$60,000
• C)$225,000
• D)$50,000
• E)$75,000

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Definitions:

Revolving Line

A type of credit facility that allows a borrower to withdraw, repay, and re-borrow funds up to a specified credit limit.

Commitment Fee

A charge imposed by a lender on a borrower for not utilizing a credit line or for funds that have not been disbursed.

Revolving Credit

A flexible credit line that allows individuals or businesses to borrow, repay, and borrow again up to a certain limit, commonly seen in credit cards and lines of credit.

Interest Expense

It refers to the cost incurred by an organization or individual for borrowing funds, typically represented as a yearly interest rate applied to the loan's principal amount.