Chiyeyeye Enterprises Ltd sells equestrian boots and has three brands: Riding boots, work boots and casual wear. Looking ahead to the financial year ending 31st may, 2022, the directors of Chiyeyeye Enterprises ltd are faced with a budget loss of ZMW 10 000. This is based on the following data: Budgeted number of boots 10 000 Sales price per unit ZMW10 Variable cost per unit ZMW 6 Fixed cost ZMW 6000 Calculate the profit if the selling price increase to ZMW 12 per boot. Calculate the contribution margins for Chiyeyeye Enterprise ltd for each product? Based on your calculated contributions margin for each product line, what

Chiyeyeye Enterprises Ltd sells equestrian boots and has three brands: Riding boots, work boots and casual wear. Looking ahead to the financial year ending 31st may, 2022, the directors of Chiyeyeye Enterprises ltd are faced with a budget loss of ZMW 10 000. This is based on the following data: Budgeted number of boots 10 000 Sales price per unit ZMW10 Variable cost per unit ZMW 6 Fixed cost ZMW 6000 Calculate the profit if the selling price increase to ZMW 12 per boot. Calculate the contribution margins for Chiyeyeye Enterprise ltd for each product? Based on your calculated contributions margin for each product line, what

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 10CE: Coral Seas Jewelry Company makes and sells costume jewelry. For the coming year, Coral Seas expects...

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Martin Footwear produces high quality computer bags. The accountant has prepared the following budget information for 2019: Fixed costs (total) Manufacturing $2,500,000 Marketing and selling 250,000 Administrative 750,000 Total fixed costs $3,750,000 Other information Sales in dollars (total) $7,500,000 Selling price per unit $150 Variable manufacturing costs per unit $60 Variable selling costs per unit $10 Income tax rate 40% Required What is the break-even point for 2019 in units and in sales dollars? ( ignore income taxes) What is the projected net income before tax for 2019? How many computer bags will need to be sold to achieve a target profit, after taxes, of $3,000,000?
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