EA14. 3.5 Marshall & Company produces a single product and recently calculated their break-even point asshown.CurrentUnits soldSales price per unitVariable cost per unitContribution margin per unitFixed costsBreak-even (in units)Contribution margin ratioBreak-even (in dollars)400550375175$ 3,5002031.82%$11,000What would Marshall's target margin of safety be in units and dollars if they required a $14,000 margin ofsafety?%24

Margin of Safety: The break-even point reflects the level of sales volume where no profit or loss is…

EA14. LO 3.5 Marshall & Company produces a single product and recently calculated their break-even point as shown. Current Units sold Sales price per unit Variable cost per unit Contribution margin per unit Fixed costs 400 550 375 175 %24 $ 3,500 Break-even (in units) Contribution margin ratio Break-even (in dollars) 20 31.82% $11,000 What would Marshall's target margin of safety be in units and dollars if they required a $14,000 margin of safety?

EA14. LO 3.5 Marshall & Company produces a single product and recently calculated their break-even point as shown. Current Units sold Sales price per unit Variable cost per unit Contribution margin per unit Fixed costs 400 550 375 175 %24 $ 3,500 Break-even (in units) Contribution margin ratio Break-even (in dollars) 20 31.82% $11,000 What would Marshall's target margin of safety be in units and dollars if they required a $14,000 margin of safety?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

You are provided with the following data. I Unit sales 5 Selling price per unit 5 7 8 Variable expenses per unit Fixed expenses Target Profit 9 10 Required: 11 12 13 Contribution margin per unit 14 15 CM ratio 16 Variable expense ratio 17 18 Compute the break-even. 19 20 Break-even in unit sales $ Dagate ssss is $ 80,000 units 70 per unit 28 per unit Compute the CM ratio and variable expense ratio. $ 2,688,000 $ 1,610,000
MERSİN ÜNIVERSIT.. $250,000 $136,364 O Perry Company's break-even point is 20,000 units. Its product sells for $25 and has a $10 variable cost per unit. What is the company's total fixed cost ?amount $180,000 O Fixed costs cannot be computed with the information provided. O $120,000 O $200,000 O $300,000 إرسال Google A -, Mersin Universitesi Ja-y t Coogle hp HEWLE TT-PAC KARD
The information below relates to the only product of Catherine Company: Exercise 4-13 Sales price per unit Variable cost per unit Fixed costs per year P48 36 P240,000 REQUIRED: i Compute the contribution margin ratio and the peso sales volume required to break-even. 2. Assuming that the company sells 75,000 units during the year, compute the margin of safety sales volume. Exercise 4-14 Cristina Corporation has fixed costs of P72,000 per month. It sells two products as follows: Sales Variable Contribution Price Cost Margin Product A P20 P8 P12 B 20 14 REQUIRED: 1. What monthly peso sales volume is required to break-even if three units of product A are sold with one unit of product B? 2. What monthly peso sales volume is required to break-even if one unit of product A is sold with three units of product B?
Do not use Ai
Sales Mix and Break-Even Analysis Michael Company has fixed costs of $814,900. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follo Product Selling Price Variable Cost per Unit Contribution Margin per Unit QQ $570 $380 $190 ZZ 330 230 100 The sales mix for Products QQ and ZZ is 50% and 50%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round your answers to nearest whole number. a. Product QQ units b. Product ZZ units Previous Check My Work 2 more Check My Work uses remaining.
EA5. LO 2.2Rose Company has a relevant range of production between 10,000 and 25,000 units. The following cost data represents average cost per unit for 15,000 units of production. Using the cost data from Rose Company, answer the following questions: If 10,000 units are produced, what is the variable cost per unit? If 18,000 units are produced, what is the variable cost per unit? If 21,000 units are produced, what are the total variable costs? If 11,000 units are produced, what are the total variable costs? If 19,000 units are produced, what are the total manufacturing overhead costs incurred? If 23,000 units are produced, what are the total manufacturing overhead costs incurred? If 19,000 units are produced, what are the per unit manufacturing overhead costs incurred? If 25,000 units are produced, what are the per unit manufacturing overhead costs incurred?
PROBLEM 6. After its cost structure (variable costs P15 per unit and monthly fixed costs of P125,000),as well as potential market, Babaero Company established what it considered to b a reasonable selling price. The company expected to sell 20,000 units per month and planned its monthly results as follows: Sales @P25 Less: Variable costs @P15 Contribution margin P500,000 [300,000) 200,000 (125,000) 75,000 ( 30,000) P 45,000 Less: Fixed costs Income before taxes Less: Income taxes Net incom 7. If the company wants an after-tax profit of P60,000 on its expected sales volume of 20,000 units, what price must it charge? 8. The company is considering offering its salespeople a 5% commission on sales. What would the total sales, in pesos, have to be in order to implement the commission plan and still earn the planned before-tax income of P75,000? 9. If the company wants its before tax profit higher than the planned P75,000 by P15,000, compute the required increase in peso sales.
Define Selling profit.
A. Determine the missing amounts S.No Unit Selling Price Unit Variable Cost Contribution Margin per unit Contribution Margin Ratio 1 2 3 550 1500 (e) 370 (c) (f) (a) 600 900 (b) (d) 30 B. For Al Farabi Company, variable costs are 75% of sales, and fixed costs are $210,000.Management’snet income goal is $70,000. Compute the required sales needed to achieve management’s target net income of $70,000. (Use the mathematical equation approach.) C. Company A’s costs are mostly variable, whereas Company B’s costs are mostly fixed. When sales increase, which company will tend to realize the greatest increase in profits? Explain.
Massey Company reported the following data regarding the product it sells: Sales price $ 25 Contribution margin ratio 40 % Fixed costs $ 810,000 Massey Company reported the following data regarding the product it sells: Sales Price: $25 Contribution margin ratio: 40% fixed cost: 810,000 Required Use the contribution margin ratio approach and consider each requirement separately. If the sales price increases to $30 and variable costs do not change, what is the new break-even point in dollars? In units?
4
i need the answer quickly