Please assist with the attached questions. 3. Find the new break units and sales even under the following conditionsi. sales price inerease by 25 %ii. variable expenses reduced by $25iii. Fixed cost has increased by 20 % Instructions: Complete All questions.[Question 1]Instructions: Use Microsoft Excel to perform CVP analysis using the information presentedbelow for ABC Itd.ABC Ltd has the following details for the year ending December 31, 2009Fixed costVariable cost per unitSelling price per unitProduction$10,000$ 3$ 52000 units per periodDraft a schedule showing the profit and loss for each period up to ten (10) periods,sing by 2000 units respectively.A.incВ.Draw a break-even chart from the data in this schedule clearly identifying the breakevenpointUsing the Goal Seek Function in Excel complete the following:C.Calculate the breakeven units and breakeven salesD.How many units the company needs to sell to make a profit of $8,000 and $20,000respectively[Question 2]Whittier Company plans to sell 1,000 mowers at $400 each in the coming year.Total variable expense per unit is $325. Total fixed expense is $45,000.Required:1. Calculate the sales revenue and units that Whittier Company must make to breakeven.2. Check your answer by preparing a contribution margin income statementbased on the break-even point calculated.

Solution Note : As per the Q&A guideline we are required to answer the first question only .…

Instructions: Complete All questions. [Question 1] Instructions: Use Microsoft Excel to perform CVP analysis using the information presented below for ABC Itd. ABC Ltd has the following details for the year ending December 31, 2009 Fixed cost Variable cost per unit Selling price per unit Production $10,000 $ 3 $ 5 2000 units per period А. Draft a schedule showing the profit and loss for each period up to ten (10) periods, increasing by 2000 units respectively. В. Draw a break-even chart from the data in this schedule clearly identifying the breakeven

Instructions: Complete All questions. [Question 1] Instructions: Use Microsoft Excel to perform CVP analysis using the information presented below for ABC Itd. ABC Ltd has the following details for the year ending December 31, 2009 Fixed cost Variable cost per unit Selling price per unit Production $10,000 $ 3 $ 5 2000 units per period А. Draft a schedule showing the profit and loss for each period up to ten (10) periods, increasing by 2000 units respectively. В. Draw a break-even chart from the data in this schedule clearly identifying the breakeven

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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ABC Ltd has the following details for the year ending December 31, 2009 Fixed cost - $10,000 Variable cost per Unit $ 3 Selling price per unit $ 5 Production 2000 units per period Required A. Draft a schedule showing the profit and loss for each period up to ten (10) periods increasing by 2000 units respectively. B. Draw a break even chart from the data in this schedule clearly identifying the breakeven point C. Calculate the breakeven units and breakeven sales D. How many units the company needs to sell to make a profit of $ 8,000.
Solve for the cost line equation using the high-low method: \table[[Month, Units Produced,Total Cost], [1,4,500,$ 38,000
CVP Analysis, *What IT?" AnalysisKevin Co. projected contribution-format income statement for the upcoming month is shownBelow Sales (500 units) $10000Variable expenses. 4000Contributions margin. 6000Fixed expenses. 1000Net operating income. 5000Required:a.) Compute the breakeven point in units.b) Compute the breakeven paint in dollars.c.) If the company wishes to earn a monthly target profit of $10,000, how many units must be sold each month?d.) Compute the company's margin of safety. State your answer in both dollar and percentage terms,e.) The company's manager thinks that adding a salaried sales staff member at a cost of 52,000 per month will increase sales by $4,000 per month. If he is correct, what will be the net dollar advantage or disadvantage of making this change?t.) Refer to the original data, the company's manager believes that a new production process will improve profitability. He plans to add new machinery that will cut variable expenses…
III. NadasellsorangejuiceforOMR1.00pergallon.ThevariablecostperunitisOMR0.80,andthefixed costs per month are OMR 1,000. You are required to;A) Calculate the total costs if Nada produces 10,000 units? B)Calculate the total profit earned by Nada if they produce and sell 10,000 units?
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JPL, Incorporated has provided its sales and expense data for the most recent period. The Controller has asked you prepare a spreadsheet that shows the related CVP Analysis computations. Given the following information complete a CVP analysis for JPL, Incorporated: Unit sales Selling price per unit Variable expenses per unit Fixed expenses 11,200 units $ 75 per unit $45 per unit $ 210,000 Required: Use the data to answer the following. 1. Compute the CM ratio and variable expense ratio. 2. Compute the break-even sales. 3. Compute the margin of safety. 4. Compute the degree of operating leverage.
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Use the accompanying Profit_Analysis spreadsheet model to answer the following questions. Assumptions: Fixed cost: $ 5,000.00 Material costs per item: $ 2.25 Labor costs per item: $ 6.50 Shipping costs per 100 items: $ 200.00 Price per item: $ 12.99 Quantity: 2000 Outputs: Total revenues: $ 25,980.00 Total costs: $ 26,500.00 Total profits: $ -520.00 1. Use the data table tool to show the impact of quantity ranging from 1,500 to 5,000 with 500 unit increments on the total revenues, total costs, and total profits. What are the revenues, costs, and profits for 3,500 units? 2. Use the data table tool to show the impact of labor costs ranging from $5.00 to $8.00 with $0.50 increments and price per item ranging from $10.99 to $15.99 with $1.00 increments on the total profits. What is the total profit if the labor costs are $6.50, and the price is $14.99? Note: Round your answers to 2 decimal places. 3.…
Exxarro Llimited is considering pricing and costing for the year ahead. The following data based on expected production and sales of 15 000 units are provided for analysis:Variable manufacturing costR1 185 000Fixed manufacturing costR510 000Sales commissionR5 per unit soldFixed administration costR130 000SalesR210 per unit Study the information provided above and answer the following questions independently:4.1 Calculate the break-even sales value. 4.2 Calculate the sales volume required to achieve a profit of R 800 000. 4.3 Suppose Exxaro Limited is considering a decrease of 10% per unit in the selling price of the product with the expectation that it would increase sales volume by 10%. Is this a good idea? Motivate your answer with relevant calculations.
Example1: A company is comparing between two equipment for quality inspection as per data in below table: DATA MACHINE 1 MACHINE 2 INITIAL COST 12,000 8,000 1,000 (YEARS 1-5) 3,000 (YEARS 6-14) ANNUAL NET 3,000 INCOME MAXIMUM LIFE 14 The company used rate of return 15% to take the decision by: 1. Payback period analysis. 2. NPV analysis.