A firm has fixed costs of P200,000 and variable costs per unit of P6. It plans on selling 40,000 units in the coming year. If the firm pays income taxes on its income at a rate of 40 percent, what sales price must the firm use to obtain an after-tax profit of P24,000 on the 40,000 units

Q: If each sales rep earns a salary of €60,000 per year, whatsales are necessary to break even on the…

A: Break-Even Point: It refers to a point of production at which there is no profit no loss.

Q: The company has P3,000,000 sales.  The variable costs are equal to fifty cents for every peso of…

A: The percentage increase in net income can be calculated with the help of degree of financial…

Q: Marigold Corp. has fixed costs of $2200000 and variable costs are 20% of sales. What are the…

A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS   Answer =  $3,000,000

Q: Your corporation sells a product for $10 per unit. The variable expenses are $6 per unit, and the…

A: Break-even analysis is a technique used widely by the production management. It helps to determine…

Q: 4. A firm produces and sells a product with a contribution margin of $32 per unit. The firm is…

A: Lets understand the basics. Break even point is a point at which no profit and loss arise. In other…

Q: The break-even point in sales for The Company is $390,000, and the company's contribution margin…

A: Break-even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…

Q: Firm M expects to earn $210,000 next year after taxes. Sales will be $4 million. This firm makes…

A: Given Information: Sales = $4,000,000 Profits after taxes = $210,000 Sales per unit = $200 Variable…

Q: he company sales price is $35 per unit. The variable cost of production bowties is $21 per unit. The…

A: Solution:- Break-even point                                      =Fixed cost / Contribution per unit…

Q: Rampart's had net income in 2020 of $120,000. Rampart's variable costs were 20% of its total…

A: Given,  Variable costs = 20% Contribution margin ratio = 100%-20%  Contribution margin ratio = 80%

Q: Sheldon's Company is the exclusive distributor for an automotive product that sells for $56.00 per…

A: The break-even point indicates that total units are to be sold by the business entity to recover the…

Q: Redlands Inc. sells one product for $5. The variable cost per item is $3, and the fixed costs for…

A: The differential analysis is performed to analyse the different alternatives available to the…

Q: Ratchet Ltd expects to sell 30,000 units this year. The selling price is set at $25 per unit. The…

A: Cost volume profit analysis is useful to find out the different sales volume on the basis of…

Q: Example: Your company wants to earn $7,000 in after-tax profit selling Frog caps outside the stadium…

A: Income statement is a financial statement that shows profitability, total revenue and total…

Q: The following annual information is for Dexter Corporation:   Product A Revenue per unit: $20.00…

A: Formula: Unit contribution margin = Selling price - Variable cost per unit