For the most recent year, Triad Company had fixed costs of $240,000 and variable costs of 75% of total sales revenue, earned $70,000 of net income after taxes, and an income tax rate of 35%. Required: 1. Determine the before-tax income. (Round your answer to 2 decimal places.) 2. Determine the total contribution margin. (Round your answer to 2 decimal places.) 3. Determine the total sales. (Round your intermediate calculations and final answer to 2 decimal places.) 4. Determine the breakeven point in dollar sales. (Round your intermediate calculations to 2 decimal places.) 1. Before-tax income 2. Contribution margin 3. Total sales 4. Breakeven point in sales dollars
For the most recent year, Triad Company had fixed costs of $240,000 and variable costs of 75% of total sales revenue, earned $70,000 of net income after taxes, and an income tax rate of 35%. Required: 1. Determine the before-tax income. (Round your answer to 2 decimal places.) 2. Determine the total contribution margin. (Round your answer to 2 decimal places.) 3. Determine the total sales. (Round your intermediate calculations and final answer to 2 decimal places.) 4. Determine the breakeven point in dollar sales. (Round your intermediate calculations to 2 decimal places.) 1. Before-tax income 2. Contribution margin 3. Total sales 4. Breakeven point in sales dollars
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Vishu
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For the most recent year, Triad Company had fixed costs of $240,000 and variable costs of 75% of total sales revenue, earned
$70,000 of net income after taxes, and an income tax rate of 35%.
Required:
1. Determine the before-tax income. (Round your answer to 2 decimal places.)
2. Determine the total contribution margin. (Round your answer to 2 decimal places.)
3. Determine the total sales. (Round your intermediate calculations and final answer to 2 decimal places.)
4. Determine the breakeven point in dollar sales. (Round your intermediate calculations to 2 decimal places.)
1. Before-tax income
2. Contribution margin
3. Total sales
4. Breakeven point in sales dollars
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