What is the monthly break-even point in unit sales and in dollar sales?Break-even point in unit salesunitsBreak-even point in dollar sales 3-a. How many units would have to be sold each month to attain a target profit of $35,400?3-b. Verify your answer by preparing a contribution format income statement at the target sales level.4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms.5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $60,000 per month and there is nochange in fixed expenses, by how much would you expect monthly net operating income to increase?Answer is not complete.Complete this question by entering your answers in the tabs below.Req 1Req 2Req 3AReq 3BReq 4What is the monthly break-even point in unit sales and in dollar sales?Break-even point in unit salesBreak-even point in dollar salesunitsReq 5Req 2 >Return Menlo Company distributes a single product. The company's sales and expenses for last month follow:SalesVariable expensesContribution marginFixed expensesNet operating incomeTotal$ 308,000215,60092,40075,600$ 16,800PerUnit$ 2014$6Required:1. What is the monthly break-even point in unit sales and in dollar sales?2. Without resorting to computations, what is the total contribution margin at the break-even point?3-a. How many units would have to be sold each month to attain a target profit of $35,400?3-b. Verify your answer by preparing a contribution format income statement at the target sales level.4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms.5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $60,000 per month and there is nochange in fixed expenses, by how much would you expect monthly net operating income to increase?Answer is not complete.Complete this question by entering your answers in the tabs below.

Introduction:- CVP analysis is used to identify the changes in costs and volume affect a company's…

Answered: Required: 1. What is the monthly…

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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A) what is blossoms contribution margin per unit? B) what is blossoms monthly breakeven point? C) what is blossoms contribution margin ratio? What is blossoms monthly breakeven point in sales dollars?
2. On the basis of French's revised information, what does next year look like: a. What is the break-even point? 1,035,688 units Sales at full capacity (units) Sales volume (units) Unit sales price ($) Sales revenue ($) Variable cost per unit ($) Contribution margin per unit ($) Total variable cost ($) Fixed costs ($) Profit ($) Ratios Variable cost to sales Unit Contribution to sales Utilization of capacity (%) Break even point (units) Aggregate 2,000,000 1,750,000 6.948 12,160,000 3.385 3.56 5,925,000 3,690,000 2,545,000 0.49 0.51 87.5 1,035,688.312 A 400,000 $10 4,000,000 7.5 2.5 3,000,000 960,000 40,000 0.75 0.25 20 384,000 Product Lines B 400,000 $9 3,600,000 3.75 5.25 1,500,000 1,560,000 540,000 0.42 0.58 20 297,143 C 950,000 $4.80 4,560,000 1.5 3.3 1,425,000 1,170,000 1965000 0.31 0.69 47.5 354,545
Contribution Margin, Break-Even Sales, Cost-Volume-Profit Chart, Margin of Safety, and Operating Leverage Belmain Co. expects to maintain the same inventories at the end of 20Y7 as at the beginning of the year. The total of all production costs for the year is therefore assumed to be equal to the cost of goods sold. With this in mind, the various department heads were asked to submit estimates of the costs for their departments during the year. A summary report of these estimates is as follows: Estimated Estimated Variable Cost Fixed Cost (per unit sold) Production costs: Direct materials $50.00 Direct labor 30.00 Factory overhead $350,000 6.00 Selling expenses: Sales salaries and commissions 340,000 4.00 Advertising 116,000 Travel 4,000 Miscellaneous selling expense 2,300 1.00 Administrative expenses: Office and officers' salaries 325,000 Supplies 6,000 4.00 Miscellaneous administrative expense 8,700 1.00 Total $1,152,000 $96.00 It is expected that 12,000 units will be sold at a price…
Which of the following is true regarding the contribution margin ratio of asingle product company? a. As fixed expenses decrease, the contribution margin ratio increases b. The contribution margin ratio increases as the number of units sold increase c. The contribution margin ratio multiplied by the variable expense per unit equals thecontribution margin per unit d. If sales increase, the peso increase in net operating income can be computed bymultiplying the contribution margin ratio by the peso increase in sales
Calculate the missing values. Express dollar values rounded to twe decimal places and break-even volumes rounded up to the next integer. Fixed Cost (FC) per month Variable Cost (VC) per unit Selling Price (S) per unit Break-even Total Variable Volume (x) per month Cost at Break-even (TVC) per month Total Revenue (TR) per month at Break-Even $8,700.00 $24.00 $36.00 $130,000.00 $470.00 1,030 $740,00 $79.00 22 $31.00 $53.00 440 SAVE P 11°C 23
HI PLEASE HELP ME. I only need the 1st quarter's total forecasted sales in units, 2nd quarter forecasted sales in units, 3rd quarter forecasted sales in units, and 4th quarters forecasted sales in units and its total forecasted sales in units
Producers' Surplus The demand function for a certain brand of CD is given by p = -0.01x2 -0.2x + 19 where p is the unit price in dollars and x is the quantity demanded each week, measured in units of a thousand. The supply function is given by p = 0.01x² + 1.1x +4 where p is the unit price in dollars and x stands for the quantity that will be made available in the market by the supplier, measured in units of a thousand. Determine the producers' surplus if the market price is set at the equilibrium price. (Round your answer to the nearest dollar.) $ Need Help? Read It Submit Answer
QUESTION 2 REQUIRED: Use the information provided below to answer the following questions: 2.1 Calculate the total net profit for the estimated figures. 2.2 Calculate the break-even quantity 23 Calculate the break-even value 2.4 Calculate the break-even value using the marginal income ratio. 2.5 Calculate the target sales volume to achieve a profit of R15 000 000. 2.6 Calculate the new break-even quantity and value if the selling price is increased by 10%. 2.7 Calculate the margin of safety in units at the original budgeted volume and price INFORMATION Kitty Limited plans to manufacture bar fridges. According to the 2020 budget conducted by management, budgeted sales are expected to be R10 000 000 with 5 000 units being produced. The company's direct material and direct labour costs are expected to be 5000 cents and 3500 cents per unit respectively. Whereas, the fixed factory overheads and fixed administrative expenses are budgeted at R450 000 and R200 000 respectively. Furthermore,…
(a) Calculate the break-even point in (1) sales dollars and (2) number of passengers. Break-even point Break-even point passengers Texthookand Media
2. What is the expected contribution margin ratio? Round to the nearest whole percent. 3. Determine the break-even sales in units and dollars. 4. Construct a cost-volume-profit chart on your own paper. What is the break-even sales? 5. What is the expected margin of safety in dollars and as a percentage of sales? (Round to the nearest whole percent.) 6. Determine the operating leverage. Round to one decimal place.
Compute for what is being asked1. Unit selling price P800 unit variable cost P350 annual sales volume, 620 units, fixed costs and expenses P200,000 per year. Compute the following.a. Contribution margin per unitb. Contribution margin percentagec. BEP sales volume (units)d. BEP peso salee. Operating income (BIT)using the break even salef. Operating income (EBIT) using the annual sales volume
a) Compute the breakeven sales dollars of cach product assuming the same sales mix remains constant. b) Prepare an analysis showing whether Product Z should be eliminated. The amount of change to net income should be computed. c) Assume the current demand of cach product is same as the sales volume the company has for the year. Below is the machine processing time required for cach product. Product Machine processing time in hours i. How many units should the company produce for each product if there is a constraint of only 24.000 hours of machine processing time in the year. ii. Compute the highest possible net income camed by the company. 3 2 An accountant has prepared the folowing product-line income statement for the year: Product Tatal No of mts sokd 5,000 4,000 4,000 Saks Varible enpermes 200,000 S 120,000 100,000 S 60.000 40,000 S 20,000 60,000 40,000 20,000 Cotribution mangin 80,000 40,000 20,000 Fihed expenses Rert Depreciin 10,000 12,000 8,000 5.000 6,000 2,000 2,400 3,000…

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