None Consider the following data:Contribution Margin $13,261Operating Income$6,363If volume goes up by 17.27%, by what percentage will theoperating income increase?

Degree of Operating Leverage = Contribution Margin/Operating IncomeDegree of Operating Leverage =…

Answered: Consider the following data:…

Financial & Managerial Accounting

14th Edition

ISBN:9781337119207

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter20: Variable Costing For Management Analysis

Section: Chapter Questions

Problem 20.10EX

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General accounting
Please provide correct answer general accounting question
Given the following information, what is the contribution margin ratio? Sales Variable expenses Fixed Expenses Net Income 44% 33% 23% 56% $828000 364320 276000 $187680
Variable Costs, Contribution Margin, Contribution Margin Ratio Super-Tees Company plans to sell 20,000 T-shirts at $19 each in the coming year. Product costs include: Direct materials per T-shirt $6.65 $1.33 Direct labor per T-shirt Variable overhead per T-shirt $0.57 Total fixed factory overhead $43,000 Variable selling expense is the redemption of a coupon, which averages $0.95 per T-shirt; fixed selling and administrative expenses total $13,000.
Contribution income statement Top Disc manufactures flying disks. The following information is available for the year, the company's first year in business when it produced 325,000 units. Revenue of $812,500 was generated by the sale of 325,000 flying disks. Production Direct material Direct labor Manufacturing overhead Selling and administrative Variable Cost Fixed Cost $150,000 100,000 75,000 $112,500 90,000 100,000
Given answer accounting questions
If revenue = $90 and variable cost = 35% of revenue, then contribution margin = $58.50. Options a. True. b. False.
A company has return on sales of 15% at sales of $400,000. Its fixed cost are $90,000; variable costs are $25 per unit. A. What are sales in units? Why? How? B. What is contribution margin per unit? Why? How? C. What is income? Why? How?
Consider the following: Fixed expenses P78,000 Unit contribution margin 12 Target net profit 42,000 How many unit sales are required to earn the target net profit?
If sales are $30,000, fixed costs are $10,000, and variable costs are $7,000 what is the contribution margin ratio? O 0.594 O 0.767 O 0.612 0.659
APPLY THE CONCEPTS: Target income (sales revenue) Another useful method for figuring out the type of performance your company will need to reach a target income is by using sales revenue. Rather than using the number of units, this method uses total sales revenue. In companies for which the total set of goods produced and sold is more varied, this would be the preferred method, as opposed to a business in which only one product is sold. Assume a company has pricing and cost information as follows: Price and Cost Information Amount Selling Price per Unit $30 Variable Cost per Unit $15 Total Fixed Cost $15,000 For the upcoming period, the company wishes to generate operating income of $40,000. Given the cost and pricing structure for the company's product, how much sales revenue must it generate to attain its target income? Step 1: Calculate the contribution margin ratio: The contribution margin ratio is the contribution margin in proportion to the selling price on a per-unit basis.…
What is the weighted average contribution margin percentage?

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Consider the following data: Contribution Margin $13,261 Operating Income $6,363 If volume goes up by 17.27%, by what percentage will the operating income increase?