Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. aerobic town and total fitness reported the follow

Aerobic Town and Total Fitness reported the following results for 2019: Aerobic...

90.2K

Verified Solution

Question

Accounting

Aerobic Town and Total Fitness reported the following results for 2019:

Aerobic Town Total Fitness

Sales $120,000 $300,000

Variable costs 60,000 120,000

Fixed costs 20,000 80,000

Due to an economic downturn, it is estimated that sales for both companies will decrease next year by $60,000. Which company will have the larger percentage decrease in profit next year?

Neither, both companies will have the same percentage decrease in profit.

Total Fitness will have a higher percentage decrease in profit

Aerobic Town will have a higher percentage decrease in profit.

Percentage change in profit will increase for both Aerobic Town and Total Fitness

More information is required to answer the question

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

Two linearly independent solutions of the following equation (1 ? x)?y? ?+? x?y? ??? y ?=? 0 are ?y1(x)...

Biology
1.2K views

What is the difference between cultivation-independent and cultivation-dependent methods in microbial ecology?

General Management
1.2K views

The Dahlia Medical Center has 30 labor rooms, 15 combination labor and delivery rooms, 3 delivery...

Physics
1.2K views

A uniform magnetic field of 0 5 gauss exists in a region A long straight...

Physics
1.2K views

31 Three capacitors each of capacitance 9 pF are connected in series a What is...

Calculus
1.2K views

many hours are there in exactly 26 d hours answer has bmit Answer significant figures...

Accounting
1.2K views

- 2 of 11 ID: MST SLR.ALR.02.0020 [1 point] A study was conducted...

Accounting
1.2K views

If a garden center is considering the purchase of a new tractor with an initial...

Accounting
1.2K views

PROBLEM V (10%) Wally's Wallet World opened for business on Jan. 1,2017. During 2017 he...

Accounting
1.2K views

EcoMart establishes a $1,500 petty cash fund on May 2. On May 30 , the...

Accounting
1.2K views

[The following Information applies to the questions displayed below.] Chavez Company most recently reconciled Its...

Finance
1.2K views

Two analysts are in a big argument about the expected return of a stock and...