Answer the Following Questions Using the Information Below

question 50

Multiple Choice

Answer the following questions using the information below:
Dr Charles Hunter,MD,performs a certain outpatient procedure for $1000.His fixed costs are $20 000,while his variable costs are $500 per procedure.Dr Hunter currently plans to perform 200 procedures this month.
-What is the budgeted operating profit for the month assuming that Dr Hunter plans to perform the procedure 200 times?

• A)$40 000
• B)$200 000
• C)$80 000
• D)$100 000

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Definitions:

Daily Management

The ongoing operations and decision-making processes performed by an organization's management team on a day-to-day basis.

Shareholders

Individuals or entities that own one or more shares of stock in a public or private corporation, giving them ownership interests.

Corporate Criminal Liability

The legal principle that a corporation, as an entity, can be held accountable for committing criminal acts.

Strict Liability Rule

A regulation imposing absolute responsibility on certain persons or entities for damages or losses, regardless of fault or intention.