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Author Question: Lark Company manufactures dog food for distribution in Washington, Oregon, and California. A dog ... (Read 52 times)

joe3899

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on: Feb 5, 2023
Lark Company manufactures dog food for distribution in Washington, Oregon, and California. A dog food distributor from Florida has approached Lark and offered to purchase 240,000 pounds of dog food for $1.40 per pound. Lark can produce 2,000,000 pounds of dog food per year, and its results for last year are as follows:

Sales (1,820,000 at $1.65)$3,003,000
Variable costs1,092,000
Contribution margin1,911,000
Fixed costs   790,000
Operating income$1,121,000

If Lark accepts the offer, it will only be able to sell 1,760,000 pounds of dog food at the regular price due to its capacity constraints. What will Lark's total operating income be next year if it accepts the offer?
◦ $1,310,000
◦ $2,040,000
◦ $1,358,000
◦ $1,250,000
Managerial Accounting ¦ Davis ¦ 4th Edition
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Marked as best answer by joe3899 on Feb 5, 2023

Sha

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Reply #1 on: Feb 5, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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joe3899

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Reply 2 on: Feb 5, 2023
Great answer, keep it coming :)

shewald78

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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