Reference: 18_04
a Firm Sells Two Products, a and B

question 82

Multiple Choice

Reference: 18_04
A firm sells two products, A and B. For every unit of A the firm sells, two units of B are sold. The firm's total fixed costs are $1,612,000. Selling prices and cost information for both products follow:
$\begin{array}{rrr}&\text { Unit }&\text { Variables}\\&\text { Sales }&\text { Costs}\\\text { Product}&\text { Price } &\text { per Unit }\\\hline\mathrm{A} & \$ 20 & \$ 8 \\\mathrm{~B} & 24 & 4\end{array}$

-The contribution margin per composite unit is:

• A) $12
• B) $20
• C) $32
• D) $44
• E) $52

Understand the concept and accounting treatments for collecting previously written-off accounts.

Recognize the parties involved in a promissory note and understand their roles.

Calculate the total interest on various notes receivable.

Understand the accounting entries related to receiving an interest-bearing note.

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Definitions:

Post-Traumatic Stress Disorder

A mental health condition triggered by experiencing or witnessing a terrifying event, leading to persistent flashbacks, nightmares, and severe anxiety.

Generalized Anxiety Disorder

A mental health condition characterized by persistent and excessive worry about various aspects of daily life, beyond what might be expected from the situation.

Pervasive Worrying

A chronic and excessive concern about a variety of topics, events, or activities, which is difficult to control and affects daily functioning.

Specific Phobias

Intense, irrational fears of specific objects or situations, such as heights, spiders, or flying, that lead to avoidance behavior.