I won't this question correct answer general accounting MacCloud Industries has two divisions-Standard and Premium. Each division hashundreds of different types of tennis racquets and tennis products. The followinginformation is available:Standard Division Premium Division TotalSalesVariable costs$400,000$280,000$600,000$360,000$240,000Contribution margin $120,000Total fixed costsWhat is the weighted average contribution margin ratio?a. 34%b. 35%c. 36%d. 50%$1,000,000$300,000

Step 1: Define Contribution Margin AnalysisThe contribution margin analysis is usually carried out…

Answered: MacCloud Industries has two…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

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Problem 11MC: Total costs for ABC Distributing are $250,000 when the activity level is 10,000 units. If variable...

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Cost Relationships The following costs are for Optical View Inc., a contact lens manufacturer:Output in Units Fixed Costs Variable Costs Total Costs250 $4,750 $ 7,500 $12,250 300 4,750 9,000 13,750350 4,750 10,500 15,250400 4,750 12,000 16,750Required1. Calculate and graph total costs, total variable cost, and total fixed cost.2. For each level of output calculate the per-unit total cost, per-unit variable cost, and per-unit fixed cost.3. Using the results from requirement 2, graph the per-unit total cost, per-unit variable cost, and per-unitfixed cost, and discuss the behavior of the per-unit costs over the given output levels.
The following information is for LaPlanche Industries Inc.: East West Sales volume (units): Product XX 45,000 38,000 Product YY 60,000 50,000 Sales price: Product XX $700 $660 Product YY $728 $720 Variable cost per unit: Product XX $336 $336 Product YY $360 $360 a. Determine the contribution margin for the Product YY.$ b. Determine the contribution margin for the West Region.
Division X makes a part that it sells to customers outside of the company. Data concerning this part appear below: Selling price to outside customers.... Variable cost per unit. Total fixed costs....... Capacity in units. $50 $30 Select one: O a. $50 O b. $49 O c. $46 O d. $30 $400,000 25,000 Division Y of the same company would like to use the part manufactured by Division X in one of its products. Division Y currently purchases a similar part made by an outside company for $49 per unit and would substitute the part made by Division X. Division Y requires 5,000 units of the part each period. Division X has ample excess capacity to handle all of Division Y's needs without any increase in fixed costs and without cutting into outside sales. According to the formula in the text, what is the lowest acceptable transfer price from the standpoint of the selling division?
The following information is for Bullwinkle Industries Inc.: Line Item Description East West Sales volume (units): Product Alpha 45,000 38,000 Product Omega 60,000 50,000 Sales price: Product Alpha $500 $600 Product Omega $250 $225 Variable cost per unit: Product Alpha $275 $275 Product Omega $140 $140 a. Determine the contribution margin for the East Region and West Region.East Region: fill in the blank 1 of 2$West Region: fill in the blank 2 of 2$ b. Determine the contribution margin ratio for the East Region and West Region. Round the contribution margin ratio to one-tenth of a percent.East Region: fill in the blank 1 of 2%West Region: fill in the blank 2 of 2%
Bonita Industries has two divisions Standard and Premium. Each division has hundreds of different types of tennis racquets and tennis products. The following information is available: Standard Division Premium Division Total $1000000 $600000 $400000 Sales 420000 $340000 Variable costs $180000 $60000 Contribution margin $300000 Total fixed costs What is the weighted-average contribution margin ratio? O50% 5% 46% O 24%
Total costs for ABC Distributing are $250,000 when the activity level is 10,000 units. If variable costs are $5 per unit, what are their fixed costs? $240,000 $200,000 $260,000 Their fixed costs cannot be determined from the information presented.
A-6
Lindstrom Company produces two fountain pen models. Information about its products follows: Product A Product B Sales revenue Less: Variable costs Contribution margin Total units sold Lindstrom's fixed costs total $86,500. Required: $ 76,600 41,400 $ 46,000 5,000 $ 123,400 52,800 $ 91,000 5,000 1. Determine Lindstrom's weighted-average unit contribution margin and weighted-average contribution margin ratio. 2. Calculate Lindstrom's break-even point in units and in sales revenue. 3. Calculate the number of units that Lindstrom must sell to earn a $150,000 profit. 4. Calculate Lindstrom's margin of safety (in units and sales dollars) and margin of safety as a percentage of sales based on the sales data provided in the table above. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the number of units that Lindstrom must sell to earn a $150,000 profit. Note: Do not round your intermediate calculations. Round your answer…
Subject: acounting
Structuring a Keep-or-Drop Product Line Problem Shown below is a segmented income statement for Orzo Company's three laminated flooring product lines: Strip Plank Parquet Total Sales revenue $400,000 $200,000 $300,000 $900,000 Less: Variable expenses 225,000 120,000 250,000 595,000 Contribution margin $175,000 $ 80,000 $ 50,000 $305,000 Less direct fixed expenses: Machine rent (5,000) (20,000) (50,000) (75,000) Supervision (15,000) (10,000) (20,000) (45,000) Depreciation (35,000) (10,000) (25,000) (70,000) Segment margin $120,000 $ 40,000 $ (45,000) $115,000 Orzo's management is deciding whether to keep or drop the parquet product line. Orzo's parquet flooring product line has a contribution margin of $50,000 (sales of $300,000 less total variable costs of $250,000). All variable costs are relevant. Relevant fixed costs associated with this line include $30,000 in machine rent and $4,700 in supervision salaries. Required: 1. List…
The following costs are for Optical View Incorporated, a contact lens manufacturer: Output in Units Fixed Costs Variable Costs Total Costs 250 $ 4,750 $ 7,500 $ 12,250 300 4,750 9,000 13,750 350 4,750 10,500 15,250 400 4,750 12,000 16,750 For each level of output calculate the per-unit total cost, per-unit variable cost, and per-unit fixed cost. (Round your answers to the nearest whole dollar amount.)
Contribution Margin by Segment The following information is for La Planche Industries Inc.: East West Sales volume (units): Product XX 45,000 38,000 Product YY 60,000 50,000 Sales price: Product XX $700 $660 Product YY $728 $720 Variable cost per unit: Product XX $336 $336 Product YY $360 $360 a. Determine the contribution margin for the Product YY. b. Determine the contribution margin for the West Region.

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