Ask Question
8 December, 16:46

Adventures Company provides event management services. The company has three employees, each assigned to specific customers. The company considers each employee's territory as a business segment. The following data relate to its three segments for the month of June: Francisco Liu Jordan Sale Revenue $ 8 comma 000 $ 10 comma 800 $ 13 comma 350 Variable costs $ 5 comma 900 $ 5 comma 200 $ 10 comma 500 The business segments had the following number of customers: Francisco, 24 ; Liu, 28 ; and Jordan, 33. The total fixed costs for the month of June amount to $ 3 comma 300. Which business segment was the most profitable? A. Liu B. Both Francisco and Liu are equally profitable C. Francisco D. Jordan

+1
Answers (1)
  1. 8 December, 16:53
    0
    A. Liu

    Explanation:

    Francisco Liu Jordan

    Sale Revenue $ 8, 000 $ 10,800 $ 13, 350

    Variable costs $ 5, 900 $ 5, 200 $ 10,500

    Fixed Costs $ 11,00 $ 11,00 $ 11,00

    Net Profit 1000 4,500 1,750

    A. Liu business segment is most profitable having a Profit of $ 4,500

    Jordan business segment is better than Francisco business segment but not as profitable as Liu.

    Francisco business segment is least profitable of all.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Adventures Company provides event management services. The company has three employees, each assigned to specific customers. The company ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers