O MyPath Home Content My Questions | bartleby Managerial Accounting, Fifteenth x O File | C:/Users/pse/Documents/managerial-accounting-15th-edition.pdf Managerial Accounting, Fifteenth Edition 261 / 795 0070 TJU,000 Z0,000 $600,000 $420,000 $(5,000) EXERCISE 5-12 Multiproduct Break-Even Analysis [(LO5-9] Olongapo Sports Corporation distributes two premium golf balls-the Flight Dynamic and the Sure Shot. Monthly sales and the contribution margin ratios for the two products follow: Product Flight Dynamic Sure Shot Total Sales $150,000 $250,000 $400,000 CM ratio 80% 36% Fixed expenses total $183,750 per month. Cost-Volume-Profit Relationships 221 Required: 1. Prepare a contribution format income statement for the company as a whole. Carry computa- tions to one decimal place. 2. Compute the break-even point for the company based on the current sales mix. 3. If sales increase by $100,000 a month, by how much would you expect net operating income to increase? What are your assumptions? EXERCISE 5-13 Using a Contribution Format Income Statement [LO5-1, LO5-4] Miller Company's most recent contribution format income statement is shown below: Total Per Unit $300,000 Sales (20,000 units) Variable expenses ...... $15.00 180,000 9.00 ..... 8:22 PM O Type here to search 99+ 19 4/12/2020
O MyPath Home Content My Questions | bartleby Managerial Accounting, Fifteenth x O File | C:/Users/pse/Documents/managerial-accounting-15th-edition.pdf Managerial Accounting, Fifteenth Edition 261 / 795 0070 TJU,000 Z0,000 $600,000 $420,000 $(5,000) EXERCISE 5-12 Multiproduct Break-Even Analysis [(LO5-9] Olongapo Sports Corporation distributes two premium golf balls-the Flight Dynamic and the Sure Shot. Monthly sales and the contribution margin ratios for the two products follow: Product Flight Dynamic Sure Shot Total Sales $150,000 $250,000 $400,000 CM ratio 80% 36% Fixed expenses total $183,750 per month. Cost-Volume-Profit Relationships 221 Required: 1. Prepare a contribution format income statement for the company as a whole. Carry computa- tions to one decimal place. 2. Compute the break-even point for the company based on the current sales mix. 3. If sales increase by $100,000 a month, by how much would you expect net operating income to increase? What are your assumptions? EXERCISE 5-13 Using a Contribution Format Income Statement [LO5-1, LO5-4] Miller Company's most recent contribution format income statement is shown below: Total Per Unit $300,000 Sales (20,000 units) Variable expenses ...... $15.00 180,000 9.00 ..... 8:22 PM O Type here to search 99+ 19 4/12/2020
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Exercise 5-12
![O MyPath Home
Content
My Questions | bartleby
Managerial Accounting, Fifteenth x
O File | C:/Users/pse/Documents/managerial-accounting-15th-edition.pdf
Managerial Accounting, Fifteenth Edition
261 / 795
0070
TJU,000
Z0,000
$600,000 $420,000
$(5,000)
EXERCISE 5-12 Multiproduct Break-Even Analysis [(LO5-9]
Olongapo Sports Corporation distributes two premium golf balls-the Flight Dynamic and the
Sure Shot. Monthly sales and the contribution margin ratios for the two products follow:
Product
Flight Dynamic Sure Shot
Total
Sales
$150,000
$250,000 $400,000
CM ratio
80%
36%
Fixed expenses total $183,750 per month.
Cost-Volume-Profit Relationships
221
Required:
1. Prepare a contribution format income statement for the company as a whole. Carry computa-
tions to one decimal place.
2. Compute the break-even point for the company based on the current sales mix.
3. If sales increase by $100,000 a month, by how much would you expect net operating income
to increase? What are your assumptions?
EXERCISE 5-13 Using a Contribution Format Income Statement [LO5-1, LO5-4]
Miller Company's most recent contribution format income statement is shown below:
Total
Per Unit
$300,000
Sales (20,000 units)
Variable expenses ......
$15.00
180,000
9.00
.....
8:22 PM
O Type here to search
99+
19
4/12/2020](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F702fb32a-4fe0-42fc-bb8d-b441ccd6ae07%2Fd941c2d9-d745-4c2c-933b-cc7e31dc06a1%2Fqdfaw4.png&w=3840&q=75)
Transcribed Image Text:O MyPath Home
Content
My Questions | bartleby
Managerial Accounting, Fifteenth x
O File | C:/Users/pse/Documents/managerial-accounting-15th-edition.pdf
Managerial Accounting, Fifteenth Edition
261 / 795
0070
TJU,000
Z0,000
$600,000 $420,000
$(5,000)
EXERCISE 5-12 Multiproduct Break-Even Analysis [(LO5-9]
Olongapo Sports Corporation distributes two premium golf balls-the Flight Dynamic and the
Sure Shot. Monthly sales and the contribution margin ratios for the two products follow:
Product
Flight Dynamic Sure Shot
Total
Sales
$150,000
$250,000 $400,000
CM ratio
80%
36%
Fixed expenses total $183,750 per month.
Cost-Volume-Profit Relationships
221
Required:
1. Prepare a contribution format income statement for the company as a whole. Carry computa-
tions to one decimal place.
2. Compute the break-even point for the company based on the current sales mix.
3. If sales increase by $100,000 a month, by how much would you expect net operating income
to increase? What are your assumptions?
EXERCISE 5-13 Using a Contribution Format Income Statement [LO5-1, LO5-4]
Miller Company's most recent contribution format income statement is shown below:
Total
Per Unit
$300,000
Sales (20,000 units)
Variable expenses ......
$15.00
180,000
9.00
.....
8:22 PM
O Type here to search
99+
19
4/12/2020
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