Baird company makes a product that sells for $32 per unit. The company pays $14 per unit for the variable costs of the product and incurs annual fixed costs of $147600. Baird expects to sell 21300 units of product. Required Determine Baird margin of safety expressed as a percentage: Margin of safety

Baird company makes a product that sells for $32 per unit. The company pays $14 per unit for the variable costs of the product and incurs annual fixed costs of $147600. Baird expects to sell 21300 units of product. Required Determine Baird margin of safety expressed as a percentage: Margin of safety

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

Campbell Corporation sells products for $31 each that have variable costs of $18 per unit. Campbell's annual fixed cost is $295,100. Required Use the per-unit contribution margin approach to determine the break-even point in units and dollars.
Franklin Company incurs annual fixed costs of $133,500. Variable costs for Franklin's product are $29.70 per unit, and the sales price is $45.00 per unit. Franklin desires to earn an annual profit of $45,000. Required Use the contribution margin ratio approach to determine the sales volume in dollars and units required to earn the desired profit. Note: Do not round intermediate calculations. Round your final answers to the nearest whole number. Sales in dollars Sales volume in units
Sunn Company manufactures a single product that sells for $215 per unit and whose variable costs are $172 per unit. The company's annual fixed costs are $597,700. (a) Compute the company's contribution margin per unit. Contribution margin (b) Compute the company's contribution margin ratio. Numerator: (c) Compute the company's break-even point in units. 1 1 Numerator: 1 1 Numerator: Denominator: Denominator: (d) Compute the company's break-even point in dollars of sales. 1 1 Denominator: = = II II = Contribution Margin Ratio Contribution margin ratio Break-Even Units Break-even units Break-Even Dollars Break-even dollars
Wren Co. manufactures and sells two products with selling prices and variable costs as follows: A) selling price $18.00, variable costs $12.00, and B) selling price $22.00, variable costs $14.00. Wren's total annual fixed costs are $38,400. Wren sells four units of A for every unit of B. If operating income was $28,800 what was the number of units Wren sold?
Big Chill, Inc. sells portable dehumidifier units at $193. Unit variable costs are $110. Fixed costs are $4,175,000. Management has set a profit objective of 15.1% return on sales. Calculate the sales volume in dollars that will provide a 15.1% return on sales. Round your answer to the nearest dollar .
Steps Inc sells step aerobic class equipment. The equipment sells for $15 / unit. The variable cost is $10 per unit and fixed costs are $1,750,000. What are number of units the company must sell if the company wants to achieve a target profit of $400,000
Rako
Relax Pte Ltd produced and sold 37,500 luxury scented candles during the year 2022 at $80 per unit. Total fixed cost was $900,000 while variable cost was $50 per unit. Determine the breakeven point in units and in $. Compute the margin of safety in $ and in %.
Willie Company sells 30,000 units at $29 per unit. Variable costs are $20.30 per unit, and fixed costs are $138,300. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income.
RST Company produces a product that has a variable cost of $6 per unit. The company's fixed costs are $30,000. The product sells for $10 per unit. RST desires to earn a profit of $20,000. The sales level in units to achieve the desire profit is Show Transcribed Text n A company that sells multiple types of products has a selling price per composite unit of $150, variable cost per composite unit of $50 and total fixed costs of $25,000. The contribution margin per composite unit is S
Blossom Company sells product 1976NLC for $15 per unit. The cost of one unit of 1976NLC is $17, and the replacement cost is $16. The estimated cost to dispose of a unit is $4, and the normal profit is 20% of selling price. At what amount per unit should product 1976NLC be reported, applying lower-of-cost-or-market? $17. $8. $16. $11.
Mulhi