Croftsman Company recorded the following information for its main product:Selling price per unit.Costs per unit (at the normal capacityof 24,000 units):Direct materialDirect labourVariable overheadFixed overheadSales CommissionContribution margin ratioBreakeven salesRequired:1. Compute the contribution margin ratio and break-even sales.Margin of safetyDollars%Degree of operating leverage$2002. What is the margin of safety in dollars and units, and the degree of operating leverage? (Round "Degree of operating leverage" to2 decimal places and the rest to the nearest whole number.)503025Units497.5% of sales

Variable costs are costs that varies with the change in the level of output whereas fixed costs are…

Answered: Croftsman Company recorded the…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Wham Company sells electronic squirrel repellants. The following data are given: Unit selling price $55.00 Variable costs ratio (Variable costs as a % of selling price) 39.00% Total fixed costs $45,000 Number of units sold 2,500 What is the magnitude of operating leverage? Round your answer to two digits. A. 2.16 B. 1.64 C. 0.46 D. 1.38 E. 3.54
Your Answer Correct Answer Your answer is incorrect. Sandhill Company has a unit selling price of $392, unit variable costs of $272, and fixed costs of $206,400. Compute the break-even point in units using (a) the mathematical equation and (b) unit contribution margin. (a) Break-even point (b) Break-even point units units
The constraint at Pickrel Corporation is time on a particular machine. The company makes three products that use this machine. Data concerning those products appear below: 9. VD JT SM Selling price per unit Variable cost per unit Minutes on the constraint $344.85 $415.40 $119.32 $270.18 $310.88 $ 91.96 Sklpped 5.70 6.70 1.90 Rank the products in order of their current profitability from most profitable to least profitable. In other words, rank the products in the order in which they should be emphasized. (Round your Intermedlate calculations to 2 declmal places.) Multiple Cholce JT, SM, VD JT. VD, SM VD, SM, JT SM, VD, JT Mc Graw < Prev 9 of 9 Next 68°F Mostly cloudy Type here to search DELL
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Alpesh
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.
could you help me only slove (d),thanks
Required information [The following information applies to the questions displayed below.] Felix & Company reports the following information. Period Units Produced 0 1 2 9 10 408 800 1,200 1,600 2,000 2,400 2,800 3,200 3,600 Total Costs $ 2,545 Total cost at the high point Variable costs at the high point Volume at the high point Variable cost per unit Total variable costs at the high point Total fixed costs 3,265 3,985 4,705 5,425 6,145 6,865 7,585 (1) Use the high-low method to estimate the fixed and variable components of total costs. (2) Estimate total costs if 3,000 units are produced. High-Low method- Calculation of variable cost per unit 8,305 9,025 Total cost at the low point Variable costs at the low point Volume at the low point Variable cost per unit Total variable costs at the low point Total fixed costs (2) Estimated cost if 3,000 units are produced: Estimated total cost High-Low method-Calculation of fixed costs 0

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