Check my workAs a newly hired management accountant, you have been asked to prepare a profit plan for the company for which youwork. As part of this task, you've been asked to do some what-if analyses. Following is the budgeted informationregarding the coming year:Selling price per unitVariable cost per unitFixed costs (per year)Required:$ 100.0063.001,227,3271. What is the breakeven volume, in units and dollars, for the coming year?2. Assume that the goal of the company is to earn a pretax (operating) profit of $332,001 for the coming year. How manyunits would the company have to sell to achieve this goal?3. Assume that of the $63 variable cost per unit the labor-cost component is $29. Current negotiations with theemployees of the company indicate some uncertainty regarding the labor cost component of the variable cost figurepresented above. What is the effect on the breakeven point in units if selling price and fixed costs are as planned, but thelabor cost for the coming year is 4% higher than anticipated? What if labor costs are 6% higher than anticipated? What iflabor costs turn out to be 8% higher than anticipated?4. Assume now that management is convinced that labor costs will be 5% higher than originally planned when the budgetfor the year was put together. What selling price per unit must the company charge to maintain the budgeted ratio ofcontribution margin to sales? (Hint: Use the Goal Seek function in Excel to answer this question.)Complete this question by entering your answers in the tabs below.Required 1 Required 2 Required 3Required 4What is the breakeven volume, in units and dollars, for the coming year?Break-even volume (units)unitsBreak-even volume (dollars)Required 1Required 2 >

The Break-even point is the optimum point of no profit no loss as at this point the firm is earning…

As a newly hired management accountant, you have been asked to prepare a profit plan for the company for which you work. As part of this task, you've been asked to do some what-if analyses. Following is the budgeted information egarding the coming year: Selling price per unit Variable cost per unit Fixed costs (per year) $ 100.00 63.00 1,227,327

As a newly hired management accountant, you have been asked to prepare a profit plan for the company for which you work. As part of this task, you've been asked to do some what-if analyses. Following is the budgeted information egarding the coming year: Selling price per unit Variable cost per unit Fixed costs (per year) $ 100.00 63.00 1,227,327

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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KK ENTERPRISE was set up by a man and his with some few years ago. The trade in a lot of products. They don’t have enough knowledge in accounting for decision making. They need professional assistance to prepare budgets for the period October to December 2020. The following information has been provided to assist in the budgeting process: · Budgeted monthly sales revenue for 2020 is as follows: October GH¢ 40,000, November GH¢ 70,000, December GH¢ 50,000, January 2018 45,000. Sales are 20% cash and 80% credit. Credit sales are collected over a three- month period, 15% in the month of sale, 70% in the month following sale and 15% in the second month following sale. Total sales revenue in August amounts to GH¢30,000 and September’s total sales revenue amounts to GH¢36,000. Cost of sales is expected to amount to 60% of sales revenue each month. The business maintains its closing inventory levels at 75% of the following month’s cost of sales. Inventory at the beginning of October is…
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Gig Harbor Boating is the wholesale distributor of a small recreational catamaran sailboat. Management has prepared the following summary data to use in its annual budgeting process: Budgeted unit sales Selling price per unit Cost per unit Variable selling and administrative expense (per unit) Fixed selling and administrative expense (per year) Interest expense for the year Required: Prepare the company's budgeted income statement for the year. Gig Harbor Boating Budgeted Income Statement 600 $ 2,020 $ 1,670 $ 55 $ 107,000 $ 18,000
Preparing a Budgeted Income Statement Oliver Company provided the following information for the coming year: Units produced and sold 160,000 Cost of goods sold per unit $6.30 Selling price $12 Variable selling and administrative expenses per unit $1.10 Fixed selling and administrative expenses $423,000 Tax rate 28 % Required: Prepare a budgeted income statement for Oliver Company for the coming year. Round all income statement amounts to the nearest dollar. Oliver Company Budgeted Income Statement For the Coming Year Sales v Cost of goods sold v Gross margin Less: Variable selling and administrative expenses Less: Fixed selling and administrative expenses Operating income Less: Income taxes Net income v 24
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15. Texas Company has begun selling new chili recipe and they want you to help with next year's budgeted financial statements. Using the worksheet below, complete Texas Company forecast and answer the questions which follow. Assumptions: To begin with, Texas Company is sure sales will grow 40% next year. Assume that is true. Then assume that COGS, Current Assets, and Current Liabilities all vary directly with Sales (that means if sales grow a certain percentage, then the account in question will grow by that same percentage). Assume that fixed expenses will remain unchanged, and that $3,000 worth of new Fixed Assets will be obtained next year. Lastly, the current dividend policy will be continued next year. Texas Company Financial Forecast Estimated This Year for next year $45,000 $5,000 40,000 Sales COGS Gross Profit 3,000 37,000 Fixed Expenses Before-Tax Profit Tax @ 33.3333% Net Profit 12.332 24,668 Dividends $0 Current Assets $30,000 20,000 $50,000 Net Fixed Assets Total Assets…
If answer all subparts.if answered within 30mins, it would be great
Print Item The Operating Budgets: Marketing and Administrative Expense Budgets The marketing expense budget can be prepared in much the same way as the overhead budget. That is, variable expenses and fixed expenses are budgeted and then totaled. Suppose that a company has variable marketing expense consisting of a sales commission equal to 5% of sales revenue. Sales revenue for the first three months of the quarter equals $560,000, $580,000, and $600,000. Fixed marketing expense consists of the following monthly costs: depreciation $3,500, salaries $12,000, and advertising $5,000. Prepare a marketing expense budget for the first quarter, by month and in total. Budgeted sales revenue x Sales commission rate Budgeted variable marketing expense $ Fixed marketing expense: Depreciation Salaries January 560,000 5 X 28,000 3,500 12,000 5,000 February 580,000 20,500 48,500 ✔ 5.2 X 29,000 3,500 12,000 5,000 20,500 49,500 $ $ March 600,000 5.3 X 30,000 3,500 12,000 5,000 20,500 50,500 Total…
Please creat an Excel spreadsheet with the marketing expenses and revenue data for the previous 10 quartersB.Perform regression analysis to determine the relationship between marketing expenses and revenueC.Using the regression results, creat a graph that plots the data provided along with predicted revenue and 90% confidence interval linesD.Forecast revenue for the next quarter if marketing expenses are budgeted as follows:i.$55,000ii.$65,000iii.$75,000iv.$85,000E.Is this a good representational model? Quantify your answer
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! Required information [The following information applies to the questions displayed below.] Adger Corporation is a service company that measures its output based on the number of customers served. The company provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results for May as shown below: Revenue Employee salaries and wages Travel expenses Other expenses Fixed Element per Month $ 57,000 $ 36,000 Variable Element per Customer Served $ 5,800 $ 1,800 $ 950 Amount of other expenses Actual Total for May $ 217,000 $ 128, 100 $ 35,300 $ 34,400 When preparing its planning budget the company estimated that it would serve 35 customers per month; however, during May the company actually served 40 customers. 13. What amount of other expenses would be included in Adger's planning budget for May?
! Required information [The following information applies to the questions displayed below.] Adger Corporation is a service company that measures its output based on the number of customers served. The company provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results for May as shown below: Revenue Employee salaries and wages Travel expenses Other expenses Fixed Element per Month $ 57,000 $ 36,000 Variable Element per Customer Served $ 5,800 $ 1,800 $950 Actual Total for May $ 217,000 $ 128,100 $ 35,300 $ 34,400 When preparing its planning budget the company estimated that it would serve 35 customers per month; however, during May the company actually served 40 customers. Amount of employees salaries and wages included in the planning budget 11. What amount of employee salaries and wages would be included in Adger's planning budget for May?

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