c. sells a single product for $13. Variable costs are $3 per unit and fixed costs total $100,000 at a volume level of 7,500 units. What dollar sales level would Flower Depot have to achieve to earn a target profit of $400,000? A. $550,000. B. $750,000.

c. sells a single product for $13. Variable costs are $3 per unit and fixed costs total $100,000 at a volume level of 7,500 units. What dollar sales level would Flower Depot have to achieve to earn a target profit of $400,000? A. $550,000. B. $750,000.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: The NUBD Co. Sells Product A for P60 each. Variable costs are P36 per unit. Fixed costs are…

A: Contribution margin per unit = Sales value - variable cost = 60 - 36 = 24 per…

Q: Coor. Goed Kelly's Karts, LLC reported the following data: Sales quantity 400 units: Sales $100 per…

A: Break-even analysis is a financial and managerial accounting tool that helps businesses determine…

Q: Wang Company manufactures and sells a single product that sells for $540 per unit, variable costs…

A: MARGINAL COSTING INCOME STATEMENTMarginal Costing Income Statement is one of the Important Cost…

Q: Maple Enterprises sells a single product with a selling price of $70 and variable costs per unit of…

A: SOLUTION- FORMULAS- 1- BREAK EVEN POINT (UNITS)= FIXED COST / CONTRIBUTION PER UNIT.…

Q: Kaya Ltd gives the following figures: Margin of Safety 3,75,000 Total Cost 3,87,500 Margin of Safety…

A: Marginal costing is an costing method and it is the variable cost of one unit of a product. Marginal…

Q: Gladstorm Enterprises sells a product for $52 per unit. The variable cost is $37 per unit, while…

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

Q: Gladstorm Enterprises sells a product for $46 per unit. The variable cost is $30 per unit, while…

A: Your company has reached its break-even point when its entire expenses and total revenues are equal.…

Q: Jarvis Company produces a product that has a selling price of $20.00 and a variable cost of $15.00…

A: Contribution margin per unit = sales price - variable cost = $20 - $15 = $5 per unit Contribution…

Q: A firm sells a single product for $8. Its variable cost per unit is $5 and fixed costs are $90.…

A: Contribution Margin Per Unit is calculated as the total selling price per unit minus the total…

Q: If a company's selling prices are $5, variable costs are $3 and fixed costs are $100,000, The number…

A: Break even point is the point of zero profits. Or we can say that it is the point where the…

Q: Sabrina Inc., sells table for $110. The unit variable cost per table is $85. Fixed costs total…

A: Note: Since you have posted a question with multiple sub-parts, we will solve first three subparts…

Q: Kareem Co. produces a single product that is sold for $85 per unit. If the variable costs per unit…

A: CVP analysis is considered a decision-making tool that helps management to make strategies and take…

Q: Meriot, Inc. has fixed costs of $200,000, sales price of $50, and variable cost of $30 per unit. How…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: KonikaEnterprises distributes a single product whose selling price is tk30 and whose variable…

A: We will only answer first question as it is not specified which question to be answered. Kindly…

Q: Apex Company sells a product for $220 per unit. The variable cost is $170 per unit, and fixed costs…

A: The Break-even point is the point where the company does not earn profit nor does it incur a loss in…

Q: A firm sells a single product for $9. Its variable cost per unit is $4 and fixed costs are $120. If…

A: Given, Selling price = $9 per unit Variable cost = $4 per unit Contribution margin per unit =…

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

A: A Break-even point is a situation where the company earns no profit and faces no loss.

Q: Gladstorm Enterprises sells a product for $53 per unit. The variable cost is $36 per unit, while…

A: 1. CONTRIBUTION MARGIN : = SALES - VARIABLE COST 2. BREAKEVEN POINT IN SALES UNITS : = FIXED COST /…

Q: Shawn, Inc., sells a single product. The company's most recent income statement is given below.…

A: Answer a) Calculation of Contribution margin per unit Contribution margin per unit = Selling Price…

Q: Zero, Inc. produces a product that has a variable cost of $6.00 per unit. The company's fixed costs…

A: Cost volume profit analysis is a technique used by the company to have an estimate of required…

Q: Zhao Company has fixed costs of $342,200. Its single product sells for $173 per unit, and variable…

A: Margin of safety: Margin of safety is the point after which profit will happen in multiple…

Q: K Company sells a product for $15 per unit. The variable cost per unit is $8, and the fixed costs…

A: The contribution Margin is calculated as difference between sales and variable cost. The break even…

Q: Sherpa Manufacturing has the following income statement for 6,000 units: Sales $600,000 Variable…

A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: White Lake Inc. produces and sells a single product. Data concerning that product appear below:…

A: 1. BREAK EVEN SALES : = (FIXED COST X SALES) / CONTRIBUTION PER UNIT 2. UNITS TO SELL TO ATTAIN…

Q: JLNS Ltd sells three products P, Q and R. The following information is provided P Q R…

A: Formula: Contribution margin = sales price - variable cost Deduction of variable cost from selling…

Q: Cost-Volume-Profit Analysis Gannon Company sells a single product for $15 per unit. Variable costs…

A: Break even is the situation at which the company is neither earning profits nor incurring losses.

Q: Altstadt Inc. sells a product for $50 per unit. The variable cost is $20 per unit, and fixed costs…

A: The point at which the company neither earns any profit nor incurs any loss is referred to as the…

Q: The Xyden Company sells grips for P6 per unit. Variable costs are P2 per unit. Fixed costs are…

A: Formula: Contribution margin = Sales - variable cost Deduction of variable cost from sales derives…

Q: Wang Co. manufactures and sells a single product that sells for $620 per unit; variable costs are…

A: Answer) Calculation of Margin of Safety in dollars Margin of Safety in dollars = Current Sales…

Q: Mia Enterprises sells a product for $90 per unit. The variable cost is $40 per unit, while fixed…

A: Break-even point in units is computed by dividing the fixed cost by the contribution margin per…

Q: Mia Enterprises sells a product for $90 per unit. The variable cost is $40 per unit, while fixed…

A: The break even data can be calculated as per CVP analysis

Q: Zoro, Inc. produces a product that has a variable cost of $6.00 per unit. The company’s fixed costs…

A: Given: Variable cost per unit = $ 6 Fixed costs = $ 30,000 Cost of product sold = $ 10 Estimated…

Q: Anna Inc. sells two products as follows: Product A Product B Units sold 3,800 4,750 Selling price…

A: To calculate the package contribution margin, we need to determine the total contribution margin for…

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

A: number of units needed = required contribution margin/contribution margin per unit sales revenue…

Q: Maple Enterprises sells a single product with a selling price of $70 and variable costs per unit of…

A: Formula: Units to be sold for reaching target profit = ( Fixed cost + Target profit ) / Contribution…

Q: moice $91,250 $401,500 $474,500

A: Break even point in sales dollars is the value of sales at which the sales revenue is equal to the…

Q: Company XYZ is a car navigation system manufacturer. The company sells each unit for $400. The…

A: Working Note:

Q: Trailblazer Company sells a product for $270 per unit. The variable cost is $150 per unit, and fixed…

A: Target Profit: It refers to the desired amount of profit that a company expects to achieve by the…

Q: Gladstorm Enterprises sells a product for $46 per unit. The variable cost is $34 per unit, while…

A: Break even point:— It is the point of production where total cost is equal to total revenue. At this…

Q: Solomon company has total fixed cost of $15,000, variable cost per unit of $6, and a price of $8. If…

A: Units required to earn Targeted profits can be calculated by the formula as follows, =(Total fixed…

Q: Zeta Company sells a single product with a selling price of $300 per unit. Per unit variable costs…

A: Required sales units is the number of sales units required for desired target profit during the…

Q: Your Company sells 3 products, A, B and C that use the same company, facility and resources. Details…

A: Contribution is the difference between sales price of the product and variable cost incurred while…

Question

Flower Depot, Inc. sells a single product for $13. Variable costs are $3 per unit and fixed costs total $100,000 at a volume level of 7,500 units. What dollar sales level would Flower Depot have to achieve to earn a target profit of $400,000?

A. $550,000.

B. $750,000.

C. $450,000.

D. $1,000,000.

E. $650,000.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Given information

VIEW

Step 2: Computation of sales volume

VIEW

Solution

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Halifax Products sells a product for $118. Variable costs per unit are $67, and monthly fixed costs are $168,300. a. What is the break-even point in units? Break-Even Point units b. How many units would need to be sold to earn a target profit of $102,000? Total Required Sales units c. Assuming they achieve the level of sales required in part b, what is the margin of safety in sales dollars? Margin of Safety
Narchie sells a single product for $50. Variable costs are 70% of the selling price, and the company has fixed costs that amount to $374,400. Current sales total 20,000 units.If Narchie sells 28,000 units, its safety margin will be: A. $374,400. B. None of the answers is correct. C. $1,400,000. D. $152,000. E. $1,248,000.
DHL couriers delivers 3000 packages for 9 OMR. The variable cost is 3 OMR per package. Fixed costs are 6,000. Find total profit. a. RO 27,000 b. RO 15,000 c. RO 12,000 d. RO 9000
,
Zhao Company has fixed costs of $455,600. Its single product sells for $191 per unit, and variable costs are $124 per unit. If the company expects sales of 10,000 units, compute its margin of safety (a) in dollars and (b) as a percent of expected sales. $ a. Margin of safety (in dollar) 611,200 b. Margin of safety (%)
A firm sell a single product for $6. Its variable cost per unit is $4 and fixed costs are $50. Ignoring income taxes, the amount of sales revenue needed for $20 profit is Select one: a. $210. b. $150. c. $35. d. $25.
Forest Company sells a product for $100 per unit. The variable cost is $50 per unit, and fixed costs are $200,000. Determine (a) the break-even point in sales units and (b) the sales units required for the company to achieve a target profit of $66,000.a. Break-even point in sales units fill in the blank 1 of 2 unitsb. Break-even point in sales units required for the company to achieve a target profit of $66,000 fill in the blank 2 of 2 units
Sarafine, Inc. sells a single product for $25. Variable costs are $12 per unit and fixed costs total $130,000 at a volume level of 5,000 units. Assuming that fixed costs do not change, Sarafine's break-even sales would be: Mutiple Choice $210.000. $250.000. $350.000 $530.000 None of the answers is comect
Corporation C is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly sales volume. The company sells the product for P133.60 per unit. Sales volume (units) 4,000 5,000 Cost of sales P383,600 P479,500 SGA costs 124,400 136,000 The best estimate of the total contribution margin when 4,300 units are sold is: (show formula and solution) b. P162,110 c. P28,380 a. P112,230 d. P45,150
2.
Finch Corporation produces products that it sells for $20 each. Variable costs per unit are $5, and annual fixed costs are $318,000. Finch desires to earn a profit of $51,000. Required a. Use the equation method to determine the break-even point in units and dollars. b. Determine the sales volume in units and dollars required to earn the desired profit. a. Break-even point in units a. Break-even point in dollars b. Sales volume in units b. Sales in dollars Prev 1 of 16 Next >
Company XYZ is producing and selling 2,500. At this level, the selling price per unit is $10, the variable expenses per unit is $6, and fixed expenses are $1,500. How much is the profit? а. $6,000 b. $8,500 С. $11,000 d. $16,000 е. $13,500