Poriss Corporation Makes and Sells a Single Product Called a Yute

question 2

Multiple Choice

Poriss Corporation makes and sells a single product called a Yute. The company is in the process of preparing its Selling and Administrative Expense Budget for the last quarter of the year. The following budget data are available:

All of these expenses (except depreciation) are paid in cash in the month they are incurred.
-If the company has budgeted to sell 16,000 Yutes in December, then the budgeted total cash disbursements for selling and administrative expenses for December would be:

• A)$280,000
• B)$494,000
• C)$224,000
• D)$504,000

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Definitions:

Demand Curve

A graph showing the relationship between the price of a good and the amount of that good that consumers are willing to purchase at various prices.

Elastic Segment

A portion of the demand curve where consumers are highly responsive to changes in price, indicating elasticity.

Total Revenue

The total amount of money received by a company for goods sold or services provided during a specific period.

Maximize Profits

The process of making the highest possible profit from business operations.