In the month of March, Cullumber Salon serviced 570 clients at an average price of $170.During the month, fixed costs were $29,580 and variable costs were 60% of sales. Contributionmargin in dollars-38760 Contribution margin per unit- 68 Contrubution margin ratio- 40%SOLVE FOR B PLEASE (b)Using the contribution margin technique, compute the break-even point in sales dollars and in sales units.Break-even point $Break-even pointeTextbook and MediaSave for LatorunitsAttempts: 0 of 3 usedSubmit

BREAKEVEN POINTBreak Even means the volume of production or sales where there is no profit or…

(b) Using the contribution margin technique, compute the break-even point in sales dollars and in sales units. Break-even point $ Break-even point eTextbook and Media in for late units Attempts: 0 of 3 used Submit

(b) Using the contribution margin technique, compute the break-even point in sales dollars and in sales units. Break-even point $ Break-even point eTextbook and Media in for late units Attempts: 0 of 3 used Submit

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

Section: Chapter Questions

Problem 1CE: The expected costs for the Maintenance Department of Stazler, Inc., for the coming year include:...

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Hart Manufacturing makes three products. Each product requires manufacturing operations in three departments: A, B, and C. The labor-hour requirements, by department, are as follows: During the next production period the labor-hours available are 450 in department A, 350 in department B, and 50 in department C. The profit contributions per unit are 25 for product 1, 28 for product 2, and 30 for product 3. a. Formulate a linear programming model for maximizing total profit contribution. b. Solve the linear program formulated in part (a). How much of each product should be produced, and what is the projected total profit contribution? c. After evaluating the solution obtained in part (b), one of the production supervisors noted that production setup costs had not been taken into account. She noted that setup costs are 400 for product 1, 550 for product 2, and 600 for product 3. If the solution developed in part (b) is to be used, what is the total profit contribution after taking into account the setup costs? d. Management realized that the optimal product mix, taking setup costs into account, might be different from the one recommended in part (b). Formulate a mixed-integer linear program that takes setup costs provided in part (c) into account. Management also stated that we should not consider making more than 175 units of product 1, 150 units of product 2, or 140 units of product 3. e. Solve the mixed-integer linear program formulated in part (d). How much of each product should be produced and what is the projected total profit contribution? Compare this profit contribution to that obtained in part (c).
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Green and White Company reported the following monthly data: Units produced Sales price Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses What is Green and White's contribution margin for this month if 990 units were sold? Select one: O a. $35,700 O b. $20,790 O c. $54,600 O d. $16,830 e. $25,740 2,100 units $26 per unit $2 per unit $ 3 per unit $ 3.75 per unit $ 8,400 in total $ 0.25 per unit $ 2,100 in total
Guava Company has provided the following information: Sales price per unit $56 Variable cost per unit 12 Fixed costs per month $16,000 Calculate the contribution margin ratio. (Round your answer to two decimal places.) O 21.43% O 64.71% O 82.35% 78.57%
All About the Dough sells funnel cake for $6.25 per customer Variable costs are $3,50 per cake. Fixed costs are $3,400 per month. what is the company contribution margin ratio?
The following analysis of selected data is for each of the two services Gates Corporation provides. Service A Service B Per-service data at 10,000 services Sales price $50 $46 Service costs: Variable 15 21 Fixed 6 4 Selling and administrative expenses: Variable 5 3 Fixed 3 1 In the Gates operation, labor capacity is the company's constraining resource. Each unit of A requires 3 hours of labor, and each unit of B requires 2 hours of labor. Assuming that all services can be sold at a normal price, prepare an analysis showing which of the two services should be provided with any unused productive capacity that Gates might have. Service A B Revenue Answer Answer Less: Variable cost Answer Answer Contribution margin Answer Answer Labor hours per unit Answer Answer Contribution margin per labor hour Answer Answer Any unused capacity should be devoted to Service B,…
I need to understand how to get the variable expenses, can you show work. Overall CM ratio 75% Overall Breakeven Point $117,000
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TARGET SALES UNITS Determine the number of cakes a bakery must sell to gerate $1,100 in profit based on the following information: Price per cake $14.71 Variable Cost per cake Ingredients $2.25 Direct Labor $ 1.02 Overhead $.25 Fixed Cost Per Month $4,476
The following is last month's contribution format income statement: Total Sales (12,000) $300,000 Variable costs $225,000 Contribution margin $75,000 Fixed costs $56,000 Net income $19,000 What is the company's margin of safety expressed in units? O A. 2,500 B. 3,040 O C. 8,960 O D. 12,000
Grease Company makes three products. Following are the revenue and cost data for a typical month. PRODUCTS X Y Z TOTAL Sales P300 P500 P800 P1,600 Variable Costs 100 200 400 700 Contribution Margin P200 P300 P400 P900 Fixed Costs: Avoidable P80 P100 P120 P300 Common, allocated on the basis of peso sales 60 100 160 320 Total Fixed Costs P140 P200 P280 P620 PROFIT P60 P100 P120 P280 REQUIRED: Answer each of the following questions independently. What will total profit be if the company simply drops Product X? The company is considering selling the new product, Product P, in place of Product X. Product P will sell for P7 per unit, have variable costs of P5 per unit, and have avoidable fixed costs of P130. How many units of Product P would be the company has to sell to maintain its total income of P280? The company charges P10 per unit for…
Grease Company makes three products. Following are the revenue and cost data for a typical month. PRODUCTS X Y Z TOTAL Sales P300 P500 P800 P1,600 Variable Costs 100 200 400 700 Contribution Margin P200 P300 P400 P900 Fixed Costs: Avoidable P80 P100 P120 P300 Common, allocated on the basis of peso sales 60 100 160 320 Total Fixed Costs P140 P200 P280 P620 PROFIT P60 P100 P120 P280 REQUIRED: Answer each of the following questions independently. Closer analysis reveals that X, Y, and Z are joint products of a joint process and all are now being processed beyond the split-off point. The cost of the joint process including raw material, is the P320 joint allocated fixed cost. All of the split-off point. If the sales values of X, Y, and Z at split-off are P110, P220, and P230, respectively, could be the company increase its profits by selling…