Pigwidgeon Company charges a selling price of $30 per unit for its single product, incurs variable costs of $14 per unit, and total fixed costs of $1,120,000. What unit sales volume isnecessary to earn a net income before tax of $40,000?Select one:Oa. 73,500b. 72,500c. 70,000d. 77,876e. None of these options are correct.

TARGET SALES Target Sales are the Estimated Sales Required to Achieve the Desired Profit. Target…

Answered: Pigwidgeon Company charges a selling…

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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Phan Company has not reported a profit in five years. This year the company would like to narrow its loss to $18,000. Assuming its selling price is $42.50 per unit and its variable costs per unit are $30, how many units must be sold to achieve its target given that total fixed costs are $69,000? (Do not round intermediate calculations.) ook Multiple Choice rences 4,448 5,520 3,712 4,080
The Warren Watch Company sells watches for $29, fixed costs are $180,000, and variable costs are $10 per watch. What is the firm's gain or loss at sales of 7,000 watches? Loss, if any, should be indicated by a minus sign. Round your answer to the nearest cent.$ What is the firm's gain or loss at sales of 15,000 watches? Loss, if any, should be indicated by a minus sign. Round your answer to the nearest cent.$ What is the break-even point (unit sales)? Round your answer to the nearest whole number.units
The following information is for Nichols Company: Selling price $120 per unit Variable costs $50 per unit Total fixed costs $315,000 If the tax rate is 30% how many units need to be sold to achieve a net income of $37800? ( the 37800 is desired after tax amount)
If a company has three lots of products for sale, purchase 1 (earliest) for $17, purchase 2 (middle)for $15, purchase 3 (latest) for $12, which of the following statements is true?A. This is an inflationary cost pattern.B. This is a deflationary cost pattern.C. The next purchase will cost less than $12.D. None of these statements can be verified
Company A calculates the cost per unit of its product at $ 28 (with $ 18 variable cost & $ 10 fixed cost). The product sells for $ 42. If then there is a large trader who intends to buy 5000 units but at a price of $ 25 with an additional shipping cost of $ 1, then should Company A accept the order (Assume that the order does not interfere with regular orders)? what is the increase/decrease in net profit of company A? O $125.000 O $140,000 O $95.000 O $30,000
Alexander Corporation sells its only product for $30 per unit. Its variable costs per unit are 40% of its selling price. Its total fixed costs for the year are $450,000. The company has an average income tax rate of 40 %. How many units must the company sell in order to earn an after tax profit of $360,000 ? Question 12 options: 45,000. 58,334. 1, 750, 020. 75,000.
2.9 Company X and Company Y sells the same product for the same price. Company X has fixed costs of Birr 100 and variable costs of Birr 10 per unit. Company Y has fixed costs of Birr 200 and variable costs of Birr8. What is the unit sales price at which these companies will have the same break-even point in terms of unit sales?
665)
1. How many units of Product Very Good would have to be sold in October 2021 in order to generate an net income after tax of P22,500?
Forest Company sells a product for $100 per unit. The variable cost is $50 per unit, and fixed costs are $200,000. Determine (a) the break-even point in sales units and (b) the sales units required for the company to achieve a target profit of $66,000.a. Break-even point in sales units fill in the blank 1 of 2 unitsb. Break-even point in sales units required for the company to achieve a target profit of $66,000 fill in the blank 2 of 2 units
Please help break it down. Thanks!
In 20A, Santos presented total variable costs at P687.50; total fixed costs at P6,750,000; sales price per unit P1,250; sold 20,000 units; tax rate at 40%. What is the maximum amount that can be spent on additional advertising at the sales level 22,000 units in 20B if an after tax net income P3,000,000 is desired. P500,000 P562,500 P625,000 None of the above

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