Answered: Calculate the breakeven point and…

Calculate the breakeven point and contribution margin. Breakeven point 38,550 units Fixed cost $ 77,100 Contribution margin Selling price per unit $ 5 Variable cost per unit $ 3

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: ABC Corp has the following information: Number of units: 3600 Sales Price per Unit $40 Variable…

A: Calculate the contribution margin per unit. Calculate the contribution margin ratio.

Q: es are 1 600 culate contri ate

A: Given: Sales=16,00,000∈ variable costs=11,30,000∈

Q: calculate the contribution, the margin of safety and the break even point

A: Contribution margin per unit = Selling Price per unit - Variable cost per unit

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

A: The amount of income that remains after deducting the variable costs related to manufacturing a good…

Q: Need Help please provide Solutions

A: Hello student! We can determine the Variable Expense per unit by referring to our Contribution…

Q: A1 please help......

A: Detailed explanation: 1. Breakeven point in units Numerator/Denominator=Breakeven unitsFixed…

Q: ble cost per unit 1.3 ginal income per REQUIRED Use the information provided below to calculate the…

A: The objective of the question is to calculate the net profit, marginal income per unit that will…

Q: Use the following information to determine the break-even point in units: Unit sales Unit selling…

A: Lets understand the basics.Break even point is a point at which no profit no loss condition arise.…

Q: Sales revenue (30,000 units) Variable costs Contribution margin Fixed costs Operating income At the…

A: Break even sales is the sales where net income is zero. Or we can say the level where total variable…

Q: Question #1 Copr. Goed Select financial data for Bora Co. are presented below. Sales quantity 400…

A: Contribution Margin: It implies a measurement that is often used by the business to find out the…

Q: Calculate the following: 1. The revenue per Mix of X and Z 2. The Contribution per mix 3. Average…

A: Under CVP Analysis, Variable Costs, Fixed Costs and Revenues are analyzed and the Impact on Profit…

Q: npt in Progress npany has a unit selling price of $505, variable costs per unit of $294, and fixed…

A: The objective of this question is to calculate the break-even point in units for a company given the…

Q: Given the following data: Fixed overheads Selling price Variable cost per unit £40 000 Select one:…

A: Break-even units = Fixed overheads / Contribution margin per unit

Q: Question Content Area If fixed costs are $284,000, the unit selling price is $35, and the unit…

A: The objective of this question is to calculate the break-even sales in units after the fixed costs…

Q: Contribution Margin Ferrante Company sells 27,000 units at $25 per unit. Variable costs are $16.00…

A: Answer a) Calculation of Contribution Margin ratio Contribution margin ratio = Contribution margin…

Q: Number of units Sale price per unit Variable costs per unit Calculate: A 2,833 units $200 80

A: Formula: Total Contribution margin = Contribution margin per unit x number of units sold Deduction…

Q: Case Study 2: Success Electronics LLC is planning to introduce a low cost smart phone with…

A: Markup = Sales x markup % / (1 + markup %) = 30 x 20% / (1+0.20) = RO 5

Q: Bloom Company management predicts that it will incur fixed costs of $259,000 and earn pretax income…

A: Here Sale for desired profit can be calculated using the formula given below. Sale for Desired…

Q: Contribution Margin Harry Company sells 19,000 units at $30 per unit. Variable costs are $22.20 per…

A: Contribution margin ratio - It is a ratio that shows the sum of the amount available to cover fixed…

Q: Contribution Margin Ferrante Company sells 31,000 units at $18 per unit. Variable costs are $10.62…

A: Contribution Margin is difference between sales value and variable cost. It can also be defined as…

Q: Rooney Corporation sells products for $28 each that have variable costs of $16 per unit. Rooney's…

A: Break even point means where there is no profit no loss. Variable cost means the cost which vary…

Q: Calculate the following: 1. The revenue per Mix of X and Z 2. The Contribution per mix 3. Average…

A: Under CVP Analysis, analysis of various costs, revenues, sales and production volumes is done in…

Q: 4 Rundle Company reported the following data regarding the product it sells: Sales price…

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

Q: Price per unit: $10 Variable cost per unit: $7 . Fixed costs: $1,500 Given these data, compute the…

A: Introduction: Break even units: Division of Unit contribution margin with Fixed cost derives the…

Q: Contribution Margin Sally Company sells 15,000 units at $24 per unit. Variable costs are $20.40 per…

A: Contribution margin ratio = (Contribution Margin per unit/ Selling Price per unit) Contribution…

Q: #equired: a. If the selling price increases by $4.00 per unit and the sales volume decreases by 300…

A: Net Operating Income-Net operating income (NOI) is a calculation used to analyze the profitability…

Q: Calculate Break-Even Point sales, when total sales, total variable costs and fixed costs are…

A: Break even point sales are the number of sales where business has no profit no loss.

Q: Sales Variable Costs Contribution Margin Fixed Costs Operating Income Total at 2,000 UnitⓇer Unit…

A: Fixed costs are incurred regardless of whether the company operates or not; their total remains…

Q: 1: BREAK-EVEN POINT IN UNITS AND IN REVENUE Unit selling price $8.00 Unit variable costs Unit…

A: Exercise:-1 Calculation of Breakeven point in units and in revenue as follows under:-

Q: ACC company makes and sells two products X and Z: X Z Price 6 10 Variable cost 3 5…

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

Q: $ $ $ 2$ Price/unit 14 Variable cost/unit Total fixed cost 4 400,000 500,000 Target profit Calculate…

A: To calculate the target profit revenues, following formula should be used: Target Profit…

Q: A Sale price per unit $4 1,900 Variable costs per unit 1,425 3,750 Total fixed costs 209,000 675,000…

A: Contribution margin is calculated as difference between sales price and variable expenses. Further,…

Q: Computing contribution margin in total, per unit, and as a ratio Complete the table below for the…

A: Variable cost per unit = Sales price per unit - Contribution margin per unit = 250 - 125 = $125…

Q: Price/unit $ 2$ $ $ 14 Variable cost/unit 4 Total fixed cost 400,000 500,000 Target profit Calculate…

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

Q: Analyse cost-volume- profit analysis. Calculate and apply break - even point volume analysis.…

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

Q: If fixed costs are $400,000 and the unit contribution margin is $20, what is the break-even point in…

A: Break even point means a point where firm is neither earning profit nor incurring any loss. For…

Q: Riverside Incorporated makes one model of wooden canoe. Partial information for it follows: Number…

A: The contribution margin is calculated as difference between sales and variable costs. The net income…

Q: • Price per unit: $10 . Variable cost per unit: $7 . Fixed costs: $1,500 Given these data, compute…

A: Under Marginal costing (variable costing) contribution percentage or contribution per unit of…

Q: Emeka Company has provided the following information: Sales price per unit Variable cost per unit…

A: The term Contribution is considered under the Cost volume Profit method. Contribution means that the…

Q: Contribution Margin Harry Company sells 24,000 units at $26 per unit. Variable costs are $17.16 per…

A: Answer Sales - variable cost = contribution Contribution margin = Contribution margin / sales…

Q: fixed costs are $1,260,000, the unit selling price is $202, and the unit variable costs are $110,…

A: Break even point is where there is no profit and no loss situations and the all cost are covered…

Q: Contribution margin per unit CM ratio Variable expense ratio Compute the break-even. Break-even in…

A: 1. CVP analysis is used to identify the changes in costs and volume that affect a company's…

Q: per -Variable cost per unit: $7 Fixed costs: $1,500 iven these data, compute the BREAKEVEN numb O150…

A: Break even point: It is the point where the total revenues and total expenses are equal, units in…

Question

Calculate the breakeven point and contribution margin.
Breakeven point
38,550 units
Fixed cost
$ 77,100
Contribution
margin
Selling price per
unit
$
5
Variable cost per
unit
3

Expert Solution

Step 1

At Break-even point, the amount of sales are equal to the total expenses generating the net income of zero.

Contribution margin is the difference of sales and the variable cost.

At Break-even point, contribution margin is equal to the fixed cost.

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Determine the missing amounts Unit Selling Price$250 $500 (e)Unit Variable Costs$180 (c) (f)Unit Contribution Margin(a) $200 $330Contribution Margin Ratio(b) (d) 30%
G http Chapter Review My... Sales price Contribution margin ratio Fixed costs Tra.. Vernon Company reported the following data regarding the product it sells: a. Break-even point in dollars a. Break-even point in units b. Sales in dollars b. Sales in units c. Break-even point in dollars c. Break-even point in units $60 Man... $ 10% $216,000 M Questio... Required Use the contribution margin ratio approach and consider each requirement separately. b Ans... 2,160,000 36,000 Bes... Saved a. What is the break-even point in dollars? In units? b. To obtain a profit of $54,000, what must the sales be in dollars? In units? c. If the sales price increases to $72 and variable costs do not change, what is the new break-even point in dollars? In units? US fron.
What is the Break-Even sales (in units) given the following data: Total Fixed Costs = $250,000.00 Unit Selling Price = $105.00 Unit Variable Cost = $65 Group of answer choices a. 6,250 b. 10,000 c. 2,381 d. 3,846
Contribution Margin Willie Company sells 39,000 units at $33 per unit. Variable costs are $22.11 per unit, and fixed costs are $191,100. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. a. Contribution margin ratio (Enter as a whole number.) fill in the blank ? %b. Unit contribution margin (Round to the nearest cent.) $ fill in the blank ? per unitc. Operating income $ fill in the blank ?
Contribution margin, breakeven point, margin of safety. Dianne Company makes a product that sells for P160 per unit. Variable costs are P104 per unit, and fixed costs total P1,568,000 annually. The company sold 35,000 units during the current year. Required: 1. Unit contribution margin, contribution margin ratio, and variable cost ratio.
28 )
• Price per unit: $10 . Variable cost per unit: $7 . Fixed costs: $1,500 Given these data, compute the BREAKEVEN number of UNITS. O 150 units 88 units O 500 units 612 units 214 units
None
Cost Volume Profit (CVP) Relationships (Algo) You are provided with the following data. Unit sales Selling price per unit Variable expenses per unit Fixed expenses Target Profit 80,000 units $70 per unit $ 28 per unit $ 2,688,000 $ 1,610,000 Required: Compute the CM ratio and variable expense ratio. Compute the break-even. Compute the target profit. Compute the margin of safety with the original data. Compute the degree of operating leverage with the original data. Use the Degree of Operating Leverage to determine the new Net Operating Income if sales increase by: 16% 1. Use the Open Excel in New Tab button to launch this question. 2. When finished in Excel, use the Save and Return to Assignment button in the lower right to return to Connect.
Revenue per Unit $10.00 Commission (variable cost) $1.00 Fill in highlighted cells while including formulas used. 1) What is the contribution margin per unit? 2) What is the break even point per month? 3) With salary of $4,000/month, what is the break even point?
If fixed costs are $1,449,000, the unit selling price is $208, and the unit variable costs are $107, what is the break-even point in sales units if fixed costs are increased by $36,600? a. 14,709 units b. 22,063 units c. 11,767 units d. 17,651 units
mpt in Progress mpany has a unit selling price of $505, variable costs per unit of $294, and fixed costs of $164,580. Calculate the break- n units using the mathematical equation and the contribution margin per unit. point in units using the mathematical equation point in units using the contribution margin per unit k and Media er units units Attempts: unlimited Submit Answer