Answered: Hito’s Auto Spa has $95,000 of fixed…

Hito’s Auto Spa has $95,000 of fixed costs and variable costs equal to 65% of sales. How much total sales are required to achieve a net income of $160,000? Help

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 7EB: Delta Co. sells a product for $150 per unit. The variable cost per unit is $90 and fixed costs are...

See similar textbooks

Related questions

Q: During 2013, Bicket, Inc.'s net income was $350,000. Its common stockholders' equity was $540,000 at…

A: We use the formula:ROE = (Net Income Available to Common Stockholders) ÷ (Average Common…

Q: Want answer

A: Step 1: DefinitionsCost of Goods Manufactured (COGM) - COGM refers to the total production cost of…

Q: What markup percentage is the company using for this financial accounting?

A: Step 1: Define Markup PercentageMarkup percentage is the percentage increase in the cost price of a…

Q: MCQ

A: Explanation of Contribution Margin:The contribution margin is the amount left after deducting…

Q: What is the total amount of stockholders equity

A: Explanation of Stockholders' Equity:Stockholders' equity represents the residual value of a…

Q: Need help this question solution

Q: What is the average monthly return over those six months?

A: Approach to solving the questionTo calculate the average monthly return, we can use the method of…

Q: given answer general accounting question

A: Step 1: Define Break-even Analysis & Margin of SafetyBreak-even Sales: The number of units or…

Q: Don't give me incorrect solution

A: Step 1:As per absorption costing, Product cost includes variable and fixed manufacturing costs. So,…

Q: Please solve this question general accounting question

A: Step 1: DefinitionsTo calculate the debt-to-equity ratio for WACC (Weighted Average Cost of Capital)…

Q: A retail company reports the following financial data: • Revenue: $1,200,000 • Expenses: $800,000 •…

A: The Return on Equity (ROE) is calculated using the formula:ROE=(Average EquityNet Income)×100…

Q: what is company A's net income?

A: Step 1:First, calculate the Earnings Before Taxes (EBT) and then subtract the 35% tax on the EBT…

Q: Please provide correct answer

A: Step 1: Definition of Straight-Line DepreciationStraight-line depreciation is a commonly used method…

Q: Need help

A: 1. If there's no missing information, the correct answer is $4,166.67. In order to get this, we…

Q: 1. I want to know how to solve these 2 questions and what the answers are 3. Field & Co.…

A: Question 1: Value of the Firm with and without DebtWe use Modigliani & Miller Proposition with…

Q: Cost per unit

A: Step 1: Definition of Variable Cost and High-Low MethodVariable costs are costs that change in…

Q: During May, the production department of a process manufacturing system completed a number of units…

A: Step 1: Definitions Related to the Question1. Work in Process Inventory (WIP)Work in Process (WIP)…

Q: I want to correct answer general accounting question

A: Step 1: Definition of Total Asset TurnoverTotal asset turnover is a financial ratio that measures a…

Q: answer plz accounting

A: Step 1: Understanding WACC FormulaThe Weighted Average Cost of Capital (WACC) is calculated by using…

Q: What is the gross profit for these general accounting question?

A: Step 1: Define Gross ProfitGross Profit is the revenue generated from sales minus the cost of goods…

Q: please solve this problem accounting

A: Step 1: Definition of Price-Earnings (P/E) RatioThe Price-Earnings (P/E) Ratio is a financial metric…

Q: Round the answer to the nearest cent

A: Calculate Common Equity:Common equity is 40% of total assets. Common Equity = 0.40 * Total Assets…

Q: hi expert please help me

A: Step 1: Definition of Net Realizable Value (NRV) of Accounts ReceivableThe Net Realizable Value…

Q: Need help with this financial accounting question please answer

A: Step 1: Definition of Net Profit MarginNet Profit Margin is a financial metric that measures a…

Q: Don't use ai given answer accounting questions

A: Step 1: Definition of Patent Amortization ExpensePatent amortization expense refers to the…

Q: Kindly help me with accounting questions

A: Step 1: Definition of Profit Margin RatioThe Profit Margin Ratio is a financial metric that…

Q: Solve this financial accounting problem

A: Explanation of Sustainable Growth Rate (SGR):The Sustainable Growth Rate (SGR) represents the…

Q: Need help with this question solution general accounting

A: Step 1: Definition of Average Accounts Payable BalanceThe average accounts payable balance…

Q: How much net operating income will be reported for the period

A: Concept of Gross ProfitGross profit is the difference between a company's total revenue and the…

Q: General accounting question

A: Step 1: Define Net IncomeNet income is the amount of profit remaining after deducting total expenses…

Q: can you please solve this

A: Step 1: Definition of Gross ProfitGross Profit represents the difference between sales revenue and…

Q: Give me Answer

A: Step 1: Understand the cost structureIndirect Costs (overhead): This is the overhead that Xantra…

Q: Financial Accounting

A: Concept of Overhead CostsOverhead costs refer to the indirect expenses incurred in the production…

Q: ???!!!

A: Explanation of Days Sales Outstanding (DSO):Days Sales Outstanding (DSO) measures the average number…

Q: 5 PTS

A: Phoenix Enterprises follows the accrual basis of accounting, which means it recognizes revenue when…

Q: Hi expert please give me answer general accounting question

A: Step 1: Definition of Net IncomeNet income is the amount of profit a company earns after subtracting…

Q: Total return on the stock? Give me solution

A: Step 1: Calculate Initial InvestmentSarah purchased 150 shares at $40 per share:150 × 40 = $6,000Her…

Q: ???

A: Given:Production in February = 20,500 unitsProduction in March = 18,400 unitsRaw material…

Q: Hi expert please help me this question accounting

A: Step 1: Definition of The Gross Margin RatioIn finance and accounting, the gross margin measures the…

Q: At the beginning of the year, Meridian Industries estimated its manufacturing overhead to be…

A: Concept of Predetermined Overhead Rate (POHR)The predetermined overhead rate is an estimated rate…

Q: Answer this question

A: To compute the Degree of Operating Leverage (DOL) for Newcombe & Associates at sales of 2,000…

Q: what is the total net gain or loss on this transaction?

A: Given Data:Contract Size: $1,000,000Buy Price (Long Position Entry): 96.22Sell Price (Exit…

Q: What is this firmws WACC accounting questions

A: To calculate the firm's Weighted Average Cost of Capital (WACC), we use the formula:WACC = (E/V ×…

Q: need true answer : General accounting question

A: Step 1: Define Gross Profit Rate The gross profit is calculated by subtracting the cost of goods…

Q: !?

A: Concept of Overhead CostsOverhead costs are the indirect expenses incurred by a company that cannot…

Q: What is the answer?

A: We determine whether the factory overhead was overapplied or underapplied as follows: Step 1:…

Q: Net Accounts receivable beginning of year: 28400

A: Explanation of Net Credit Sales: Net credit sales represent the total value of goods or services…

Q: I need correct option this question general accounting

A: Step 1: Definitions Predetermined overhead rate: A rate set in advance to allocate manufacturing…

Q: 4 POINTS

A: Explanation of Raw Materials Inventory: Raw materials inventory represents the initial stock of…

Q: Hiii, tutor give answer

A: Concept of Direct LaborDirect labor refers to the work performed by employees who are directly…

Question

Hito’s Auto Spa has $95,000 of fixed costs and variable costs equal to 65% of sales. How much total sales are required to achieve a net income of $160,000? Help

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

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Similar questions

Daisy Inc., wants to make a profit of $25,000. It has variable costs of $80 per unit and fixed costs of $15,000. How much must it charge per unit if 4,000 units are sold? Need solution
Bloom Enterprises has fixed costs of $825,400. The selling price per unit is $210, and the variable cost per unit is $120. How many units must the company sell in order to earn a profit of $190,000?help
Daisy Inc., wants to make a profit of $25,000. It has variable costs of $80 per unit and fixed costs of $15,000. How much must it charge per unit if 4,000 units are sold? Ans
Daisy Inc., wants to make a profit of $25,000. It has variable costs of $80 per unit and fixed costs of $15,000. How much must it charge per unit if 4,000 units are sold? Answer this Question
Please help me with this question general Accounting
Daisy Inc., wants to make a profit of $25,000. It has variable costs of $80 per unit and fixed costs of $15,000. How much must it charge per unit if 4,000 units are sold? Question
Peak performance Inc. Has the following data for its product: please answer the accounting question
What amount sales is necessary to earn desired profit?
?
How do I solve this question?
Daisy Inc., wants to make a profit of $25,000. It has variable costs of $80 per unit and fixed costs of $15,000. How much must it charge per unit if 4,000 units are sold? ?!
Many units must be sold to earn an income of 75000?