Sales $ 400, eee Variable expenses 260,e00 140, eee Contribution margin Fixed expenses 96,eee Net operating income $ 44,000 Average operating assets $ 350,000 The margin is closest to:
Q: Bryce Co. sales are $876,000, variable costs are $469,800, and operating income is $233,000. What is…
A: Contribution margin: Difference between the sales and the variable costs is called contribution…
Q: Bryce Co. sales are $876,000, variable costs are $469,700, and income from operations is $216,000.…
A: Given, Sales = $876,000 Variable costs = $469,700 Contribution margin = Sales - Variable costs
Q: For Sheridan Company, sales is $2000000, fixed expenses are $900000, and the contribution margin…
A: Solution: Fixed expenses = $900,000 Target net income = $700,000 Contribution margin ratio = 36%
Q: Fill in the blanks for each independent situation. A B $350,000 $ Sales Variable expense Fixed…
A: Cost volume profit analysis is the one which is prepared by the entity in order to determine the…
Q: Bryce Co. sales are $891,000, variable costs are $460,100, and operating income is $203,000. The…
A: The contribution margin ratio =( sales - variable costs) / sales * 100 =($891,000 - $460,100 )/…
Q: The February contribution format income statement of Tipton Corporation appears below: Sales.…
A: Solution: Contribution margin = $115,200 Net operating income = $31,100 Degree of operating leverage…
Q: Assume a company reported the following results: $ 400, 000 260,000 Sales Variable expenses…
A: The return on investment is calculated as net income divided by average operating assets.
Q: Compute the contribution margin ratio and fixed costs using the following data. Sales $ 4,500…
A: Contribution margin ratio is calculated by dividing the contribution margin by sales revenue.…
Q: The sales and cost data for two companies in the transportation industry are as follows: X…
A: The margin of safety is defined as the difference between the expected profit and the break-even…
Q: Sales (25,200 units) Variable expenses Contribution margin Fixed expenses Net operating income.…
A: Hi studentSince there are multiple subparts asked, we will answer only first three subpartsNet…
Q: e margin g income $750,000 $300,000 $170,000 s the company's margin of safety in dollars? e Choice
A: $425,000Margin of safety= $425,000Margin of safety= current sales- Break-even salesMargin of safety=…
Q: If sales are $797,000, variable costs are 80% of sales, and operating income is $201,000, what is…
A: Contribution margin is computed by subtracting the variable costs from sales. Contribution margin…
Q: Assume that Minneapolis' sales by major market are: Sales Variable expenses Contribution margin…
A: Contribution Margin Ratio :— It is calculated by dividing total contribution margin by total sales…
Q: If sales are $796,000, variable costs are 76% of sales, and income from operations is $230,000, what…
A: Given: Sales=$796000Variable cost =76% of salesIncome from operations=$230000
Q: Assume the following information: Amount Per Unit Sales $ 300,000 $ 40 Variable…
A: CVP analysis is considered a decision-making tool that helps management to make strategies and take…
Q: 10. Louise Corp. has a contribution margin ratio of 31%, fixed costs of $62,000, and a profit of…
A: Break even point means where there is no profit no loss. Variable cost means the cost which vary…
Q: Fill in the missing amounts in each of the following eight case situations. Treat each case…
A: Contribution can be determined by deducting variable expenses from sales. Contribution margin can be…
Q: If the contribution margin ratio for France Company is 32%, sales are $488,000, and fixed costs are…
A: Contribution margin = Sales x contribution margin ratio Operating income = Contribution margin -…
Q: If sales equal $351,050, variable expenses equal $200,000, and the degree of operating leverage is…
A: Net operating income = (Sales - Variable costs) / Degree of operating leverage
Q: A segment reported sales of $225,000; variable costs of $175,000; direct fixed expenses $20,000 and…
A: Under segment reporting the managers of a particular segment are held accountable for the segment…
Q: Complete each of the following contribution format income statements by supplying the missing…
A: Contribution format income statement: Contribution format income statement highlights the cost…
Q: A market segment has sales of $70,000, variable cost of goods sold of $10,000, variable selling…
A: The objective of this question is to calculate the contribution margin ratio for a market segment…
Q: Compute the company's margin of safety in both dollars and percentage terms? Per unit…
A: Margin of safety sales = Total sales - Break even sales Margin of safety in percentage = Margin of…
Q: The February contribution format income statement of Mcabier Corporation appears below: Sales $…
A: Degree of operating leverage (DOL): DOL reflects variable and fixed cost relationship of an…
Q: If sales are $314,000, variable costs are 75% of sales, and operating income is $44,100, the…
A: Operating leverage means the measurement between the contribution margin with the earning of the…
Q: 14.if sales are $793,000, variable costs are 73% of sales, and operating income is $204,000, what is…
A: Contribution margin: Difference between the sales and the variable costs is called contribution…
Q: Given the following data: Average operating assets $ 432,000 Total liabilities $ 54,000…
A: Return on investment is a financial ratio which evaluates the efficiency of a project or…
Q: If sales are $309,000, variable costs are 75% of sales, and operating income is $36,000, the…
A: Operating Leverage = Contribution Margin / Operating Income Operating Income is given, so we only…
Q: Contribution margin ratio a. Coastal Company budgets sales of $1,050,000, fixed costs of $82,700,…
A: Income statement is a financial statement that shows profitability, total revenue and total…
Q: The following information is for Gable, Inc. and Harlowe, Inc. for the recent year, Harlowe, Inc.…
A: The contribution margin is calculated as the difference between the sales and variable costs. The…
Q: Assume a company reported the following results: Sales $ 400,000 Variable expenses 260,000…
A: Formula: Margin = ( Contribution margin / Sales ) x 100
Q: ryce Co. sales are $895,000, variable costs are $469,200, and operating income is $236,000. The…
A: Contribution margin is the percentage of earnings after variable costs to sales revenue. It is the…
Q: The income statement for Huerra Company for last year is provided below: Total Unit Sales $…
A: Since you have posted a question with multiple sub parts, we will provide the solution only to the…
Q: ntribution ced expens IS
A: Given: Sales=$400,000 Variable expenses=$280,000 Contribution margin=$120,000 Fixed expenses=100,000…
Q: company with two divisions (X and Y) prepared the following segmented income statement: Y Total 2$ ?…
A: Solution: Segment margin is the margin of the segment which is based on costs directly related to…
Q: Given the following data: Average operating assets $ 1,116,000 Total liabilities $ 167,400…
A:
Q: Complete each of the following contribution format income statements by supplying the missing…
A: Sales =contribution margin+ variable expenses=236,284+150,052=386,336 Fixed expenses=contribution…
Q: Sales revenue (6,000 units) $150,000 Cost of goods sold:…
A: Total Contribution Margin = Sales - All Variable Cost
Q: f sales equal $331,220, variable expenses equal $200,000, and the degree of operating leverage is…
A: Operating leverage is calculated by dividing the contribution margin by the operating income.
Q: If net operating income is $83,000, average operating assets are $415,000, and the minimum required…
A: Residual income is the net operating income over and above income at minimum required rate of return…
Q: Total Contribution Margin Break-Even Sales Revenue Sales Revenue Variable Expenses Fixed Expenses…
A: Formula: Total contribution margin = Sales revenue - variable expenses
Q: The following income statement applies to Finch Company for the current year: Income Statement Sales…
A: The contribution margin approach can be used to calculate the magnitude of operating leverage, which…
Q: If net operating income is $80,000, average operating assets are $640,000, and the minimum required…
A: Correct answer : $9,600
Q: Assume a company reported the following results: Sales Variable expenses Contribution margin Fixed…
A: Residual income: Residulal income means excess of income earned over the desired income. Desired…
Q: If sales are $797,000, variable costs are 69% of sales, and operating income is $206,000, what is…
A: Formula: Contribution margin ratio = [ ( Sales - variable cost ) / Sales ] x 100
Q: The sales and cost data for two companies in the transportation industry are as follows: X…
A: CVP analysis is used to identify the changes in costs and volume affect a company's operating…
Q: 6. Chung-Ang Company has two department. The company's most recent monthly contribution format…
A: Sunk Cost :— It is the cost that is already incurred in past and it is now irrecoverable.…
Q: Assume the following financial data pertains to a certain single-product lodging business: Room…
A: Contribution Margin Percentage = (Contribution Margin / Room Sales) x 100
Q: Sales (22,200 units) Variable expenses Contribution margin. Fixed expenses Net operating income.…
A: Variable costs are costs that vary with the change in the level of output whereas fixed costs are…
Q: How much is the company's margin of safety in dollars?
A: Margin of safety is the difference between actual sales and breakeven sales.It shows the amount by…
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- Bryce Co. sales are $848,000, variable costs are $466,300, and operating income is $229,000. What is the contribution margin ratio? Oa. 60.2% Оb. 55.0% Ос. 40.7% Od. 45.0%ume a company with two divisions (A and B) prepared the following segmented income statement: A Total 507,000 260,000 247,000 180,000 67,000 43,000 24,000 IB Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income 300,000 120,000 180,000 100,000 80,000 207,000 140,000 67,000 80,000 (13,000) The dollar sales required for the company to break even is closest to: O $455,102 $355,201 $300,000 O $400,000Amount Sales 123,000 Variable expenses 49,200 Contribution margin 73,800 Fixed expenses 24,000 Net operating income 49,800 Determine the degree of operating leverage? %24
- Understanding CVP relationships Calculate the missing amounts for each of thefollowing firms:Units Selling Variable Costs Contribution Fixed OperatingSold Price per Unit Margin Costs Income (Loss)Firm A 11,200 $24.00 ? $100,800 $41,300 ?Firm B 8,400 ? $18.20 ? 64,500 $32,940Firm C ? 7.30 4.20 10,850 ? (6,750)Firm D 4,720 ? 51.25 41,064 48,210 ?Assume the following (1) selling price per unit-$25, (2) variable expense per unit = $13, (3) unit sales=2,580, and (4) total fixed expenses = $25,000. Given these four assumptions, net operating income must be: Multiple Choice $8,540. O $39,500. O $27,580 $5.960.Given the following information, find dollar sales: a. Fixed costs, $60,000; profit, $18,000; sales price per unit, $8.00; variable cost per unit, $5.00 b. Variable rate, .45; profit, $21,578.10; fixed costs, $58,382 c. Sales price per unit, $16.60; profit, $21,220; contribution margin, $9.29; fixed costs, $126,000
- Contribution Margin Ratio, Variable Cost Ratio, Break-Even Sales Revenue The controller of Ashton Company prepared the following projected income statement: Sales $88,000 Total variable cost 23,760 Contribution margin $64,240 Total fixed cost 43,800 Operating income $20,440 Required: 1. Calculate the contribution margin ratio. Note: Enter as a percent, rounded to the nearest whole number. fill in the blank 1 % 2. Calculate the variable cost ratio. Note: Enter as a percent, rounded to the nearest whole number.fill in the blank 2 % 3. Calculate the break-even sales revenue for Ashton. Note: Round your answer to the nearest dollar. $fill in the blank 3 4. How could Ashton increase projected operating income without increasing the total sales revenue? Decrease the contribution margin ratioIf sales are $796,000, variable costs are 76% of sales, and income from operations is $230,000, what is the contribution margin ratio? Oa. 76% Оb. 72% Ос. 28% Od. 24%Calculate the Contribution Margin Ratio: Sales 2,000,000 Rent 500,000. Depreciation 200,000. Variable COGS 60,000 Fixed COGS 35,000.
- ch7-50 Jellico Inc.'s projected operating income (based on sales of 450,000 units) for the coming year is as follows: Total Sales $ 12,150,000 Total variable cost 7,533,000 Contribution margin $ 4,617,000 Total fixed cost 2,875,878 Operating income $ 1,741,122 Required: 1(a). Compute variable cost per unit. Enter your answer to the nearest cent.$per unit 1(b). Compute contribution margin per unit. Enter your answer to the nearest cent.$per unit 1(c). Compute contribution margin ratio. % 1(d). Compute break-even point in units. units 1(e). Compute break-even point in sales dollars.$ 2. How many units must be sold to earn operating income of $376,542? units 3. Compute the additional operating income that Jellico would earn if sales were $50,000 more than expected.$ 4. For the projected level of sales, compute the margin of safety in units, and then in sales dollars. Margin of safety in units units Margin of safety in sales dollars $ 5. Compute the degree…Total sales = $120,000. Contribution Margin = 40%. Segment Performance MArgin = 15%. Segment MArgin = 7%. Compute Traceable NOT Controllable Fixed Expenses ($s).Sales $48,000 Variable Expenses $32,000 Contribution Margin $16,000 Fixed Expenses $13,000 Net Operating Income $3,000 8.1 What is the contribution margin per unit? 8.2 What is the contribution margin ratio? 8.3 If sales increased to 1,010, what would be the increase in net operating income? 8.4 If sales decreased to 950, what would be the net operating income? 8.5 What is the breakeven point in units? Round up to nearest unit 8.6 How many units must be sold to achieve a target profit of $7,000? 8.7 What is the margin of safety in dollars and in percentage? 8.8 What is the degree of operating leverage? Consider the following for Sports Stuff Corporation. The following contribution format income statement is based on a sales volume of 1,000 units. The relevant range is 700 to 1,400 units. 8.9 If the selling price increased by $4 but the sales volume decreased by 10%, what would be the net operating income? 8.10 If the company…