LAST YEAR EASTON CORPORATION REPORTED SALES OF$720,000, A CONTRIBUTION MARGIN RATIO OF 30% AND ANET LOSS OF $24,000. BASED ON THIS INFORMATION, THEBREAK-EVEN POINT WAS:A. $880,000B. $640,000C. $744,000D. $800,000HOLDT INC. PRODUCES AND SELLS A SINGLE PRODUCT. THESELLING PRICE OF THE PRODUCT IS $230.00 PER UNIT ANDITS VARIABLE COST IS $66.70 PER UNIT. THE FIXEDEXPENSE IS $212,290 PER MONTH. THE BREAK-EVEN INMONTHLY UNIT SALES IS CLOSEST TO:A. 1,300B. 1,802C. 923D. 3,183

Question (1) Given information, Sales = $720,000Contribution margin ratio = 30% or 0.30Net loss =…

Answered: LAST YEAR EASTON CORPORATION REPORTED…

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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Similar questions

Ulpik Inc. has variable operation costs of $10 per unit, a selling price of $75,50 per unit and fixed operating costs of $250,000. a) Calculate the operating breakeven point in units. b) Calculate the firm's EBIT at a level of units sold of 24,000; 28,000; and 30,000 units respectively. c) With 28,000 units as a base, what are the percentage changes in units sold and EBIT, as sales move from the base to the other levels used in part b)? d) Use the percentages computed in part c) to determine the degree of operating leverage (DOL).
Company XYZ produces and sells 40,000 units.at this levelthe company is making a profit of $37,000 . Assuming total fixed expenses of $3,000 and variable expenses per unit of $2, how much was the selling price per unit ? a. 1 b. 4 c. 8 d. 3 e. 6
both answer please provide.
Lin Corporation has a single product whose selling price is $140 per unit and whose variable expense is $70 per unit. The company's monthly fixed expense is $32,250. Required: 1. Calculate the unit sales needed to attain a target profit of $8,000. Note: Do not round intermediate calculations. 2. Calculate the dollar sales needed to attain a target profit of $8,700. Note: Round your intermediate calculations to the nearest whole number.
Lin Corporation has a single product whose selling price is $135 per unit and whose variable expense is $81 per unit. The company’s monthly fixed expense is $23,580. Required: 1. Calculate the unit sales needed to attain a target profit of $4,500. (Do not round intermediate calculations.) 2. Calculate the dollar sales needed to attain a target profit of $9,500. (Round your intermediate calculations to the nearest whole number.)
The company sells a single product for $57. Variable costs are 54% of the selling price. Fixed costs are $489,846 and the company currently sales 8,298 units. What is the breakeven in units?
Bear Corp. has sales of $708,000. The company also reports a contribution margin ratio of 30% and a profit of $45,000. If 20,000 units were sold, what is the variable cost per unit?
Eagle Express Company reported sales of $960,000; a contribution margin ratio of 30%; a variable cost of $210 per unit; and fixed costs totaling $270,000. What was the breakeven point in units?
Company XYZ made total contribution margin of $200,000 and a net income of $150,000. The company also made a total gross margin of $210,000. Assume that the variable selling and administrative expenses were $40,000, how much is the fixed manufacturing cost ($)?
Information concerning a company's products is as follows: Sales, $300,000; Variable costs, $240,000; Fixed costs, $40,000. Assuming that the company increased sales of the product by 25%, what should the operating income be?
The contribution margin ratio of Donath Corporation's only product is 65%. The company's monthly fixed expense is $573,300 and the company's monthly target profit is $9,100. Required: Determine the dollar sales to attain the company's target profit.

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