Green Acres Company Provides Home Health Care

question 145

Multiple Choice

Green Acres Company provides home health care. Green Acres charges $35 per hour for professional care. Variable casts are $21 per hour and fixed costs are $78,000. Next year, Green Acres expects to charge out 12,000 hours of home health care.
-Refer to the Figure.What is the contribution margin per hour?

• A)$6.50
• B)$14.00
• C)$21.00
• D)$35.00

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Definitions:

\(k + 8\)

An algebraic expression representing the sum of a variable, \(k\), and the number 8.

\(d = \frac { 3 } { 7 }\)

Represents a specific value of the variable d, which is equal to the fraction three-sevenths.

\(d = 4\)

An equation representing that the value of the variable \(d\) is equal to 4.