Refer to Cakers Express

question 107

Multiple Choice

Refer to Cakers Express. Assuming the company found that it had a favourable materials price variance of $1,000, what is the flour's standard cost per kilogram?

• A) $0.95 /kg
• B) $1.00 /kg
• C) $1.95 /kg
• D) $2.05 /kg

Determine the sales level required to achieve target profits in both dollar and unit terms.

Assess the financial impact of strategic decisions on net operating income.

Analyze the effect of changes in sales mix, advertising budget, and pricing strategies on financial outcomes.

Understand the concept of operating leverage and its implications for business risk and profitability.

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Definitions:

Manifest Destiny

Phrase first used in 1845 to urge annexation of Texas; used thereafter to encourage American settlement of European colonial and Indian lands in the Great Plains and the West and, more generally, as a justification for American empire.

Economic Depression

A severe and prolonged downturn in economic activity characterized by significant decline in GDP, high unemployment, low spending, and deflation.

Mississippi River

One of the longest rivers in North America, flowing from northern Minnesota to the Gulf of Mexico, and historically significant as a major transport route for trade, especially during the 19th century.

Santa Fe Trail

A historic trade route connecting Franklin, Missouri, with Santa Fe, New Mexico, used during the 19th century.