For the coming year, Loudermilk Inc. anticipates fixed costs of $600,000, a unit variable cost of $75, and a unit selling price of $125. The maximum sales within the relevant range are $2,500,000. a. Determine the maximum possible operating loss. $fill in the blank 1 b. Compute the maximum possible operating profit. $fill in the blank 2

Answer and Explanation:

The computation is shown below:

1.

If the Sale is $0, so the Variable Cost will  be $0 and Fixed Cost will be $600,000

As we know that

Operating Profit = Sales - Variable Expenses - Fixed Cost

Operating Profit = -$600,000

2.

Operating Profit = Sales - Variable Expenses - Fixed Cost

where,

Unit sold is

= ($2,500,000 ÷ $125)

= 20,000 units

And, the variable cost is

= $75 × 20,000

=  $1,500,000

So,

Operating Profit is

= $2,500,000 - $1,500,000 - $600,000

= $400,000

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'

answer; planning;