Compute the contribution-margin ratio for the touring model.
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1. Compute the contribution-margin ratio for the touring model.
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- Question iii) Han products manufacturing 40,000 units of part S-9 each year for use of its production line. A this level of activity, the cost per unit for part S-9 is given as follows : DM - $4.60; DL - $12; VMOH $3.60; FMOH $6. An outside supplier has offered to sell 40,000 units of part S-9 each year to Han products for $25 per part. If Han products accepts this offer, the facilities now being used to manufacturing part S-9 could be rented to another company at an annual rental of $80,000. However. Han products has determined that 2/3 of FMOH being applied to part S-9 would continue even if part S-9 were purchased from the outside supplier. Requirement: iii1. Calculate how much profit will increase/decrease if the outside supplier’s offer is accepted.Exercise 1 - 15 (Algo) Traditional and Contribution Format Income Statements [LO1 - 6] The Alpine House, Incorporated, is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Amount Sales $ 1,230,000 Selling price per pair of skis $ 410 Variable selling expense per pair of skis $ 48 Variable administrative expense per pair of skis $ 16 Total fixed selling expense $ 155,000 Total fixed administrative expense $ 130,000 Beginning merchandise inventory $ 60,000 Ending merchandise inventory $ 115,000 Merchandise purchases $ 320,000 Required: Prepare a traditional income statement for the quarter ended March 31. Prepare a contribution format income statement for the quarter ended March 31. What was the contribution margin per unit?Please do not give solution in image format thanku
- solve all the requirementsHrubec Products, Incorporated, operates a Pulp Division that manufactures wood pulp for use in the production of various paper goods. Revenue and costs associated with a ton of pulp follow: Selling price $ 90 Expenses: Variable $ 62 Fixed (based on a capacity of 50,000 tons per year) 18 80 Net operating income $ 10 Hrubec Products has just acquired a small company that manufactures paper cartons. Hrubec plans to treat its newly acquired Carton Division as a profit center. The manager of the Carton Division is currently purchasing 6,000 tons of pulp per year from a supplier at a cost of $83 per ton. Hrubec’s president is anxious for the Carton Division to begin purchasing its pulp from the Pulp Division if the managers of the two divisions can negotiate an acceptable transfer price. Required: For (1) and (2) below, assume the Pulp Division can sell all of its pulp to outside customers for $90 per ton. 1. What is the Pulp Division's lowest acceptable…Hrubec Products, Incorporated, operates a Pulp Division that manufactures wood pulp for use in the production of various paper goods. Revenue and costs associated with a ton of pulp follow: Selling price $ 90 Expenses: Variable $ 62 Fixed (based on a capacity of 50,000 tons per year) 18 80 Net operating income $ 10 Hrubec Products has just acquired a small company that manufactures paper cartons. Hrubec plans to treat its newly acquired Carton Division as a profit center. The manager of the Carton Division is currently purchasing 6,000 tons of pulp per year from a supplier at a cost of $83 per ton. Hrubec’s president is anxious for the Carton Division to begin purchasing its pulp from the Pulp Division if the managers of the two divisions can negotiate an acceptable transfer price. Required: For (1) and (2) below, assume the Pulp Division can sell all of its pulp to outside customers for $90 per ton. 1. What is the Pulp Division's lowest acceptable…
- help solve all requirementsPlease help me with correct answer thankuMultiple Products, Break-Even Analysis, Operating Leverage, Segmented Income Statements Ironjay, Inc., produces two types of weight-training equipment: the Jay-flex (a weight machine that allows the user to perform a number of different exercises) and a set of free weights. Ironjay sells the Jay-flex to sporting goods stores for $200. The free weights sell for $75 per set. The projected income statement for the coming year follows: Sales $600,000 Less: Variable expenses 390,000 Contribution margin $210,000 Less: Fixed expenses 157,500 $52,500 Operating income The owner of Ironjay estimates that 40 percent of the sales revenues will be produced by sales of the Jay-flex, with the remaining 60 percent by free weights. The Jay-flex is also responsible for 40 percent of the variable expenses. Of the fixed expenses, one-third are common to both products, and one-half are directly traceable to the Jay-flex line. Required: 1. Compute the sales revenue that must be earned for Ironjay to break…