Kule,IncProduces Three Different Lines of Car Racks for Transporting Large,bulky

question 35

Multiple Choice

Kule,Inc.produces three different lines of car racks for transporting large,bulky items.
$$\begin{array}{l}\begin{array} { | l | c | c | c |} \hline & \text { Bicycle } & \text { Luggage } & \text { Sks } \\\hline \text { Sales } & \$ 140,000 & \$ 100,000 & \$ 160,000 \\\hline \text { Less: cost of goods sold } & 110,000 & 110,000 & 140,000 \\\hline \text { Net proff } & 30,000 & ( 10,000 ) & 20,000 \\\hline & & & \\\hline & & & \\\hline\end{array}\\\text { Total company net annual profit } = \$ 40,000\end{array}$$ Included in the cost of goods sold is $120,000 of annual rent (a fixed cost) that is distributed equally among the three product lines.
-Refer to Kule,Inc.Included in the cost of goods sold is $12,000 of annual rent (a fixed cost) that is distributed equally among the three product lines.As a consultant to Kule,will you recommend that the company drop the luggage rack line?

• A) No,because dropping the line will result in increased fixed costs.
• B) Yes,because dropping the line will increase company net profits.
• C) Yes,because dropping the line will reduce joint costs.
• D) Yes,because dropping the line will reduce cost of goods sold and increase revenues.

Understand the concept of the self-fulfilling prophecy and its application in social contexts.

Compare different forms of bullying and their respective societal and personal impacts.

Appreciate the transformative power of specific socialization processes, like rites of passage and resocialization.

Understand the biological underpinnings of sex differentiation, including the role of chromosomes and hormones.

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Definitions:

Population Growth

The increase in the number of individuals in a population, commonly expressed as an annual percentage.

Annual Rate

The interest rate for a period of one year, often used to compare the yield on investments or the cost of loans.

Future Value

The value of an asset or amount of money at a specified future date, taking into account variables such as interest rates or returns on investment.

Interest

The fee associated with the opportunity to borrow capital, often specified in terms of an annual percentage rate.