PROBLEMS Problem 1 Candace Company's projected profit for the coming year is as follows: TOTAL PER UNIT P 600,000 360,000 240,000 192,000 P 48,000 P 60.00 36.00 P 24.00 Sales Variable cost Contribution margin Fixed cost Operating income Required 1.Compute the variable cost ratio 2.Compute the contribution ratio 3.Compute the break- even point in units 4.Compute the break- even sales in pesos
PROBLEMS Problem 1 Candace Company's projected profit for the coming year is as follows: TOTAL PER UNIT P 600,000 360,000 240,000 192,000 P 48,000 P 60.00 36.00 P 24.00 Sales Variable cost Contribution margin Fixed cost Operating income Required 1.Compute the variable cost ratio 2.Compute the contribution ratio 3.Compute the break- even point in units 4.Compute the break- even sales in pesos
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Subject: cost accounting
![PROBLEMS
Problem 1
Candace Company's projected profit for the coming year is as follows:
PER UNIT
P 60.00
TОTAL
P 600,000
360,000
240,000
192,000
P 48.000
Sales
36.00
P 24.00
Variable cost
Contribution margin
Fixed cost
Operating income
Required
1.Compute the variable cost ratio
2.Compute the contribution ratio
3.Compute the break- even point in units
4.Compute the break - even sales in pesos](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3df8b868-d006-45e7-925f-77b2e5fe3eb6%2F74f141be-6ae5-4442-a283-ffc9d6ea3d7f%2Fxeeawit_processed.jpeg&w=3840&q=75)
Transcribed Image Text:PROBLEMS
Problem 1
Candace Company's projected profit for the coming year is as follows:
PER UNIT
P 60.00
TОTAL
P 600,000
360,000
240,000
192,000
P 48.000
Sales
36.00
P 24.00
Variable cost
Contribution margin
Fixed cost
Operating income
Required
1.Compute the variable cost ratio
2.Compute the contribution ratio
3.Compute the break- even point in units
4.Compute the break - even sales in pesos
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