Handy Home sells windows (60% of sales) and doors (40% of sales). The selling price of each window is $220 and of each door is$540. The variable cost of each window is $135 and of each door is $370. Fixed costs are $600,950.S(1) Compute the weighted-average contribution margin.Sales mixWindowsDoorsContribution margin(2) Compute the break-even point in units using the weighted-average contribution margin.Numerator:Denominator:7WindowsDoorsTotalWeighted-average contribution margin(3) Compute the number of units of each product that will be sold at the break-even point.Sales mixNumber of units to break even.=Total per unitBreak Even UnitsBreak Even UnitsUnit sales atbreak-even point

Lets understand the basics. Weighted average contribution margin is calculated using the below…

Answered: Handy Home sells windows (60% of sales)…

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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Gladstorm Enterprises sells a product for $46 per unit. The variable cost is $34 per unit, while fixed costs are $9,300. Determine the: Round to the nearest whole number of units. a. Break-even point in sales units b. Determine the break-even point in sales units if the selling price increased to $59 per unit units
Willie Company sells 34,000 units at $47 per unit. Variable costs are $32.43 per unit, and fixed costs are $213,000. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. a. Contribution margin ratio (Enter as a whole number.) fill in the blank 1 % b. Unit contribution margin (Round to the nearest cent.) $fill in the blank 2 per unit c. Operating income $fill in the blank 3
Radison Inc. sells a product for $91 per unit. The variable cost is $51 per unit, while fixed costs are $230,400. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $99 per unit. a. Break-even point in sales unitsfill in the blank 1 unitsb. Break-even point if the selling price were increased to $99 per unitfill in the blank 2 units
Mia Enterprises sells a product for $90 per unit. The variable cost is $40 per unit, while fixed costs are $75,000. Determine the:a. Break-even point in sales units fill in the blank 1 of 2 unitsb. Determine the break-even point in sales units if the selling price increased to $100 per unit $ per unit fill in the blank 2 of 2 units
blanc Inc. sells a product for $67 per unit. The variable cost is $41 per unit, while fixed costs are $160,888. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $75 per unit. a. Break-even point in sales units fill in the blank 1 units b. Break-even point if the selling price were increased to $75 per unit fill in the blank 2 units
Lablanc Inc. sells a product for $93 per unit. The variable cost is $45 per unit, while fixed costs are $516,096. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $101 per unit.
Sibling Furniture Company manufactures and sells oak tables and chairs. Price and cost data for the furniture follow: (Click the icon to view the price and cost data.) Sibling Furniture has three sales representatives: Ansley, Bryce, and Camara. Ansley sold 110 tables with 4 chairs each. Bryce sold 70 tables with 6 chairs each. Camara sold 100 tables with 8 chairs each Read the requirements. Data table Calculate the total contribution margin for each sales representative. Sales representative: Ansley Bryce Camara Net sales revenue Tables Variable costs Chairs 1,300 $ 780 130 90 18 Contribution margin 9 Now calculate the contribution margin ratio for each sales representative. (Round to two decimal places-the nearest hundred Contribution margin ratio 8:49 PM S 5/20/2022 ? * IDI 16 7 L A @ 2 W S W 3 JL E $ V 4 R F 75 % 5 T G 40 6 Y C- & I 7 hp U 8 J to 144 9 K Sales Price Variable manufacturing costs Sales commission (10%) Print 11 ) () TW A4 P $ Done ENG [ 4 D 1 backspace
Please help break it down. Thanks!
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Harry Company sells 15,000 units at $44 per unit. Variable costs are $30.36 per unit, and fixed costs are $63,400. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) income from operations.
United Merchants Company sells 20,000 units at $27 per unit. Variable costs are $16.20 per unit, and fixed costs are $108,000. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) income from operations. a. Contribution margin ratio (Enter as a whole number.) fill in the blank 1 % b. Unit contribution margin (Round to the nearest cent.) $fill in the blank 2 per unit c. Income from operations $fill in the blank 3

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