Homework Help is Here – Start Your Trial Now!
Business
Accounting
1. What is the break-Even-Point (BEP) in units for the ABC corporation?

1. What is the break-Even-Point (BEP) in units for the ABC corporation?

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

1. What is the break-Even-Point (BEP) in units for the ABC corporation?

2. what is the BEP in dollars for the ABC corporation?

3. What is the Target income in units for the ABC corporation?

4. What is the Target income in dollars for the ABC company?

5. What is the contribution Margin Ratio for the ABC company?

For ABC corporation do some CVP analysis (Break-Even- Points and Target Income) per the data below using the Excel document to verify your responses by making the cells into green color. Then, answer some questions. Sales Revenue per unit: $2000 COGS per unit: $550 Total Fixed Expenses: $630,750 Target Income: $400,000
Transcribed Image Text:For ABC corporation do some CVP analysis (Break-Even- Points and Target Income) per the data below using the Excel document to verify your responses by making the cells into green color. Then, answer some questions. Sales Revenue per unit: $2000 COGS per unit: $550 Total Fixed Expenses: $630,750 Target Income: $400,000
Enter alternative values for fixed costs, contribution margin per unit, contribution margin ratio, and target net income in the first four boxes below. Then, recalculate and enter the new break-even and target income amounts based on your revised assumptions; correct values will turn the last four boxes green. Total fixed costs Contribution margin per unit Contribution margin ratio Target net income Break-Even Point in Units Break-Even Point in Sales Units to Achieve Target Income Sales to Achieve Target Income 1,200,000 1,200 0.60 600,000 1,000 2,000,000 1,500 3,000,000
Transcribed Image Text:Enter alternative values for fixed costs, contribution margin per unit, contribution margin ratio, and target net income in the first four boxes below. Then, recalculate and enter the new break-even and target income amounts based on your revised assumptions; correct values will turn the last four boxes green. Total fixed costs Contribution margin per unit Contribution margin ratio Target net income Break-Even Point in Units Break-Even Point in Sales Units to Achieve Target Income Sales to Achieve Target Income 1,200,000 1,200 0.60 600,000 1,000 2,000,000 1,500 3,000,000
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 5 steps with 4 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS