2. From the following details find out (a) Profit volume ratio, (b) BEP, (c) Margin of safety.SR 250,000Fixed CostsSalesSR 50,000Total CostsSolution:SR 150,000Net ProfitSR 50,000

P/V Ratio is used to measure the relationship between the company's profit and its sales volume.The…

Answered: 2. From the following details find out…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Given a profit margin = 10%, ROE = 20%, D/E = 1.5, and assets = $200, calculate sales. Multiple Choice O O $10 O $160 O $250 $640 O $1,000
If sales are $796,000, variable costs are 76% of sales, and income from operations is $230,000, what is the contribution margin ratio? Oa. 76% Оb. 72% Ос. 28% Od. 24%
Determine the missing amounts. 1. 2. 3. $ Unit Selling Price $800 $350 (e) $ $ Unit Variable Costs $336 (c) (f) $ Unit Contribution Margin $147 $800 (a) Contribution Margin Ratio % (b) % (d) 40 %
Match the descriptions 1 through 5 with labels a through e on the CVP chart. Dollars $25,000 $20,000 $15,000 $10,000 $5,000 $0 1. Break-even point 2. Total sales line 3. Loss area 4. Profit area 5. Total costs line (b) 200 400 600 (c) (d) (a) (e) 800 1,000 1,200 1,400 1,600 1,800 2,000 2,200 2,400 Units produced and sold
HELP
Kk.1. Subject :- Accounting Assume the following (1) selling price per unit = $30, (2) variable expense per unit = $18, and (3) total fixed expenses = $55,200. Given these three assumptions, the unit sales needed to achieve a target profit of $12,000 is: Multiple Choice 5,600 units. 17,600 units. 84,800 units. 67,200 units.
Total sales = $120,000. Contribution Margin = 40%. Segment Performance MArgin = 15%. Segment MArgin = 7%. Compute Traceable NOT Controllable Fixed Expenses ($s).
Munabhai
(e) Product Blue Product Red Selling $12.00 $24.00Variable cost $4.00 $8.00Contribution margin $8.00 $16.00Fixed costs apportioned $200,000 $400,00Budgeted Sales Units 140,000 60,000 Calculate the breakeven points, for each product and the company as a whole and comment on your findings f)Discuss the merits and demerits of the cost volume profit analysis (CVP)

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

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

2. From the following details find out (a) Profit volume ratio, (b) BEP, (c) Margin of safety. Sales SR 250,000 Fixed Costs SR 50,000 Total Costs lution: SR 150,000 Net Profit SR 50,000