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Cost of revenue: 17191 selling general and adminstrativve expense: 12673 Depreci

ID: 2433606 • Letter: C

Question

Cost of revenue: 17191 selling general and adminstrativve expense: 12673 Depreciation: 5711 Assume that 75% of cost of revenue and 35% of selling generaland adminstrative expense are variable to the number of directaccounts total revenue 40146 million and 41.5 accounts FIND THE FIXED COST!!! Cost of revenue: 17191 selling general and adminstrativve expense: 12673 Depreciation: 5711 Assume that 75% of cost of revenue and 35% of selling generaland adminstrative expense are variable to the number of directaccounts total revenue 40146 million and 41.5 accounts FIND THE FIXED COST!!!

Explanation / Answer

Total

17,191 x 75%

12,673 x 35%

Total Variable cost

Total Fixed Cost

35,575 - 17,329

18,246

Total Fixed Cost

Total

Sales Revenue 40,146 TotalCost Cost of revenue 17,191 Selling general and adminstrativveexpense 12,673 Depreciation 5,711        TotalCost 35,575 Variablecosts Cost of revenue

17,191 x 75%

12,893 Selling & general administrativeexpenses

12,673 x 35%

4436

Total Variable cost

17,329

Total Fixed Cost

35,575 - 17,329

18,246

Check Cost of revenue 17,191 x 25% 4,298 Selling & general administrativeexpenses 12,673 x 65% 8,237 Depreciation 5,711

Total Fixed Cost

18,246