Given the following projected contribution income statement for the coming year: Sales (100 units) P 10,000 Variable costs 3,000 Contribution margin 7,000 Fixed cost 4,000 Operating income 3,000 What is the unit contribution margin? 70 30 60 100

Given the following projected contribution income statement for the coming year: Sales (100 units) P 10,000 Variable costs 3,000 Contribution margin 7,000 Fixed cost 4,000 Operating income 3,000 What is the unit contribution margin? 70 30 60 100

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: XYZ company has sales of $260,000, a contribution margin ratio of 60%, and a target profit of…

A: Option e. $6.93 is correct Given Sales = 260000 Contribution Ratio = 60% Profit =30000 Total Sale…

Q: ermine the missing amounts. Unit Selling Price $900 $500 $ (e) $ LA Unit Variable Costs $432 (c) (f)…

A: Contribution Margin -The amount of sales revenue from a product that isn't consumed by variable…

Q: Calculate the breakeven point and contribution margin. Breakeven point Fixed cost Contribution…

A: Break even point = Fixed costs / Contribution margin per unit where, Contribution margin per unit =…

Q: Using the cost and benefits data for four different alternatives in table below, find the best…

A: MARR =7%

Q: Given the following projected contribution income statement for the coming year: Sales (100 units)…

A: Given information, Sales revenue=P 10,000 Variable costs =3,000 Contribution margin =7,000 Fixed…

Q: Bramble Corp. has a product with a unit selling price of $100, the unit variable cost is $40, and…

A: Lets understand the basics.Contribution margin ratio shows contribution earned in compared to sales…

Q: The management of Lambda Corporation has received the Notifications following forecast for the…

A: Break even point means where there is no profit no loss.Variable cost means the cost which vary with…

Q: What volume of sales dollars is required to earn a target income of $340000 if total fixed costs are…

A: BREAK EVEN POINTSBreak Even Points is a point of production or sales revenue where there is no…

Q: What is the value of revenue to breakeven? Units Revenue - Variable Cost - Contribution Margin -…

A: Cost volume profit analysis is the technique used by the management for decision-making. The methods…

Q: Given the following data: Fixed overheads Selling price Variable cost per unit £40 000 Select one:…

A: Break-even units = Fixed overheads / Contribution margin per unit

Q: You’ve Got This (YGT) desires to reach a target profit of $850,000 in the upcoming year. Their cost…

A: TARGET SALES Target Sales is the Expected Sales Required to Reach the Target Profit of the…

Q: Number of units Sale price per unit Variable costs per unit Calculate: A 2,833 units $200 80

A: Formula: Total Contribution margin = Contribution margin per unit x number of units sold Deduction…

Q: Question Content Area If sales are $808,000, variable costs are 74% of sales, and operating income…

A: The objective of the question is to calculate the contribution margin ratio given the sales,…

Q: If c/s =25% , prime cost $140, fixed cost $4600 ,contribution 80 and absorption cost is 40. What is…

A: The question is related to Cost Management. The Contribution Margin Ratio is calculated with the…

Q: 6. BREAKEVEN FOR SINGLE PROJECT Given: FC = P30,000 per month v = P25 per unit r= P35 per unit…

A: The break even sales are the sales where business earns no profit or loss during the period.

Q: Assume that sales are predicted to be $26,250, the expected contribution margin is $10,500, and a…

A: Breakeven Sales Revenue It is that volume of sales that are required to meet the total cost.…

Q: Given the following projected contri income statement for the coming y Sales (100 units) P10.000

A: Answer : Operating income if only 80 units will be sold : Selling price per unit = 10,000 / 100 =…

Q: Question 39 If the selling price per unit is $10, the unit contribution margin is $5, and total…

A: Cost-volume-profit analysis is a technique that is used to determine the impact of costs and sales…

Q: Question: Estimate average cost per unit as per life cycle costing

A: Life cycle costing includes all the costs that are incurred over the lifespan of an investment…

Q: Given the following projected contribution income statement for the coming year: Sales (100 units)…

A: Contribution margin=Sales-Variable costsOperating income=Contribution margin-Fixed costs

Q: PROBLEM 5. Austin Company produces a single product. The projected income statement for the coming…

A: Break even point in units = Fixed cost/Contribution margin per unit Variable cost per unit =…

Q: Choose the correct letter of answer At a price of P12 the estimated monthly sales of a product is…

A: The contribution margin is calculated as difference between sales and variable costs.

Q: How much sales are required to earn a target net income of $210000 if total fixed costs are $300000…

A: Calculation of Target Contribution :- = Target Net Income + Fixed Costs =$210000 + $300000 =$510000…

Q: The contribution margin ratio is 30%. If total fıxed costs are $24,000, then what is the total cost…

A: Variable cost per unit = Selling price x (1 - contribution margin ratio) = $2 x (1-0.30) = $1.4 per…

Q: c/s =25% , prime cost $140, fixed cost $4600 contribution 80 and absorption cost is40. What is the…

A: Given, Contribution/Sales =25%

Q: $ $ $ 2$ Price/unit 14 Variable cost/unit Total fixed cost 4 400,000 500,000 Target profit Calculate…

A: To calculate the target profit revenues, following formula should be used: Target Profit…

Q: 31) Beta has three products, A, B, and C. The following information is available: C $24,000 9,000…

A: The term "operating income" refers to the money that remains after all operational expenditures and…

Q: What is the value of revenue to have operating income of $100,000? Units 3,000 Per Unit Revenue…

A: Contribution margin is the sales revenue which is over and above variable costs in the business.…

Q: If fixed costs are $400,000 and the unit contribution margin is $20, what is the break-even point in…

A: Break even point means a point where firm is neither earning profit nor incurring any loss. For…

Q: get profit )+ CM ratio Required sales in dollars 33,000 ) + 60.00 % 1,027,000

A: The contribution margin is computed by subtracting the variable cost from the sale revenue. The…

Q: 50-By assuming fixed cost OMR 10,000, breakeven point OMR 22,000, variable cost per unit OMR 100 and…

A: Formula: Contribution = Sales price - variable cost. P/V ratio = Contribution x ( 100 / sales )

Q: 12. A company has produced the following information for a product it is about to launch: Units…

A: Since multiple questions have been posted, only the first question will be solved as per the…

Q: For XYZ Company, how many units of their product would have to be sold to yield a target operating…

A: Contribution margin per unit = sales - variable costs = 65 - 50 = $15 per unit

Question

100%

Given the following projected contribution income statement for the coming year:

Sales (100 units) P 10,000

Variable costs 3,000

Contribution margin 7,000

Fixed cost 4,000

Operating income 3,000

What is the unit contribution margin?

Group of answer choices

Definition Definition Basic financial report that forecasts estimated profits, revenue, and expenses for the company in the coming year or months. Budgeted income statements are helpful for companies in planning for the future, making better decisions, and allocating available resources more effectively and efficiently.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Unit contribution Margin

VIEW

Calculation

VIEW

Analysis of options and conclusion.

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Question 5 ) Answer with Formulas
Calculate the breakeven point and contribution margin. Breakeven point 38,550 units Fixed cost $ 77,100 Contribution margin Selling price per unit $ 5 Variable cost per unit 3
B. Consider the following: Total variable costs $200,000 Total fixed costs $150,000 Annual volume of units 500 Average invested capital $400,000 Target Return on investment 20.0% To the nearest tenth, what is the markup percentage required to earn the target return on investments using the cost-plus formula based on total costs?
Revenue per Unit $10.00 Commission (variable cost) $1.00 Fill in highlighted cells while including formulas used. 1) What is the contribution margin per unit? 2) What is the break even point per month? 3) With salary of $4,000/month, what is the break even point?
Assume the following information: Amount Per Unit Sales $ 600,000 $ 40 Contribution margin $ 360,000 $ 24 Net operating income $ 240,000 If the selling price per unit increases by 8% and unit sales drop by 6%, then the best of estimate of the new net operating income is: Multiple Choice $263,520. $243,520. $253,520. $233,520.
Determine the missing amounts. Unit Selling Price 1. 2. 3. $ $500 $250 (e) LA $ LA Unit Variable Costs $200 (c) +A $ Unit Contribution Margin $65 (f) $560 (a) Cc M
a1