Barkley Company sells two products, red cups and black mugs. Barkley predicts that it will sell 2,000 red cups and 600 black mugs in the next period. The unit contribution margins for red cups and black mugs are $2.20 and $3.90, respectively. What is the weighted average unit contributionmargin? (Round the final answer to the nearest cent.)O A. $0.90O B. $2.59O C. $3.37O D. $7.33

Weighted average contribution margin:The weighted average contribution margin is the average…

Answered: Barkley Company sells two products, red…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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2. Sooner Industries charges a price of $82 and has fixed cost of $325,000. Next year, Sooner expects to sell 14,800 units and make operating income of $187,000. What is the variable cost per unit? What is the contribution margin ratio? Note: Round your variable cost per unit answer to the nearest cent. Enter the contribution margin ratio as a percentage, rounded to two decimal places. Line Item Description Answer Variable cost per unit $fill in the blank 2 per unit Contribution margin ratio fill in the blank 3 %
In the upcoming year, NUBD estimates that it will produce and sell 4,000 units. The variable costs per unit and the total fixed costs are expected to be the same as in the current year. However, it anticipates a sales price of P16 per unit. What is Value Pro's projected margin of safety for the coming year?
Muscat Gases ,Sultanate of Oman. Market research information suggest that the product should sell at 30,000 units at OMR 280 per unit. The company seeks to make a mark- up of 40% on product cost. Estimate the cost price per unit. a. OMR 200 b. OMR 60 c. OMR 180 d. OMR 210
Crawford Company's plans for a new product require a target cost per unit of $33.33. It plans to sell 30,000 units at $40 per unit. The average investment, including design and development, is $900,000. Required: 1. Compute the expected margin for Crawford Company. (Round your percentage answer rounded to two decimal places (i.e., 0.1234 should be entered as 12.34).) Expected margin 16.68 2. Compute the expected turnover for Crawford Company. (Round your answer to 2 decimal places.) Expected turnover 1,200,000.00 3. Compute the ROI for Crawford Company. (Round intermediate calculations to 2 decimal places. Enter your percentage answer rounded to two decimal places (i.e., 0.1234 should be entered as 12.34).) 11.12 ROI
LKBP Co. sells two products, Natasha and Bench. The company sells these products at the rate of 2 units of Natasha and 3 units of Bench. The contribution margin per unit of Natasha is P4 and of Bench is P2. The total fixed costs is P420,000. The selling price of Natasha is P10 and Bench is P8.Compute the following: a. Break-even point in pesos for Natasha. b. Break-even point is pesos for Bench.
Yanks Ltd uses the following cost function: Y = $7000 + $8.50X. If the number of units produced in a month is 200, what would be the total cost?
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Mia Enterprises sells a product for $90 per unit. The variable cost is $4o per unit, while fixed costs are $75,000. Determine the following: a. Break-even point in sales units units b. Break-even point in sales units if the selling price increased to $100 per unit units
Mia Enterprises sells a product for $90 per unit. The variable cost is $40 per unit, while fixed costs are $75,000. Determine the following: units a. Break-even point in sales units b. Break-even point in sales units if the selling price increased to $100 per unit units
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Hawk Homes, Inc., makes one type of birdhouse that it sells for $29.40 each. Its variable cost is $13.20 per house, and its fixed costs total $14,013.00 per year. Hawk currently has the capacity to produce up to 2,700 birdhouses per year, so its relevant range is 0 to 2,700 houses. Required:1. Prepare a contribution margin income statement for Hawk assuming it sells 1,280 birdhouses this year. 2. Without any calculations, determine Hawk’s total contribution margin if the company breaks even. 3. Calculate Hawk’s contribution margin per unit and its contribution margin ratio. 4. Calculate Hawk’s break-even point in number of units and in sales revenue. 5. Suppose Hawk wants to earn $25,000 this year. Determine how many birdhouses it must sell to generate this amount of profit.
Zeke Company sells a single product. The selling price per unit is $32 and unit variable cost is $24. Fixed costs for the year are $100,200. What if selling price goes up by 13%, variable costs go up by 11% and fixed costs go up by 13%? What is the new breakeven point in units? Do not round any intermediate calculations. Round your final answer up to the nearest whole number.

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