Pharoah Industries carries no inventories. Its product is manufactured only when a customer's order is received. It is t

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Pharoah Industries Carries No Inventories Its Product Is Manufactured Only When A Customer S Order Is Received It Is T 1 (61.24 KiB) Viewed 34 times

Pharoah Industries carries no inventories. Its product is manufactured only when a customer's order is received. It is then shipped immediately after it is made. For its fiscal year ended October 31, 2020. Pharoah's break-even point was $1.38 million. On sales of $119 million, its income statement showed a gross profit of $178.800. direct materials cost of $405.000, and direct labor costs of $503,000. The contribution margin was $142,800, and variable manufacturing overhead was $51,000. (a) Your Answer Correct Answer (Used) - Your answer is partially correct Calculate the following: 1. Variable selling and administrative expenses. $ 88200 2. Fixed manufacturing overhead. $ 165600 3. Fixed selling and administrative expenses. 113400 e Textbook and Media Solution Attempts: 3 of 3 used b) (b) Your answer is incorrect Ignore your answer to above pert, assume that fixed manufacturing overhead was $100.000 and the fixed selling and administrative expenses were $82,000. The marketing vice president feels that if the company increased its advertising, sales could be increased by 19%. What is the maximum increased advertising cost the company can incur and still report the same income as before the advertising expenditure? Maximum increased advertising expenditure $