1. Depending upon the state of the economy Ables manufacturing Crop. Expect to sell the following number of the prefabricated building. The probability of each state is indicated. What is the expected value of the total sales projection?Outcome ProbabilityUnitsPriceBAd 0.20 100$20Normal 0.50 180$25Great 0.30 210$30a. $4500b. $4540c. $12800d. None of these2. A firm has beginning inventory of 300 units at a cost $11 each. Production during the period was 650 units at $12 each. If sales were 700 units. What is the cost of goods sold (assume FIFO)?a. $9000b. $8000c. $7700d. 81003. GS Cookie Co. forecast cash receipt or January and February of $9000 and $10000 respectively. Cash payment of $4000 and $ 5500 are expected in these two months. GS cookie s Cash balance at the beginning of January was $5000 a level that it attempts to maintain. At the beginning of the year. GS Cookie has a $13000 balance Outstanding on its line of credit at the local bank. Based on its cash budget how much of the line of credit can GS Cookie repay by the end of February ?a. $10000b. $9000c. $4000d. None GS Cookie must increase borrowings.4. If a firm has break even point of 20000 units and the contribution margin on the firm s single product is $3.00per unit and fixed costs are $60000. What will the firm net income be at sales of 30000 units? a. $90000b. $30000c. $15000d. $45000
