Samsung manufacturers USB charging cables for mobile devices. It sells these cables to distributors for $2.6000000000 each,while their variable costs are 72e per cable, and they have a fixed cost of $43000 to manufacture the cables.1. What is the Contribution margin (in dollars)?2. What is the profit function (without units using x as the number of cables sold)?3. What is their projected profit or loss next month (in dollars), for which Samsung forecasts sales of 23241 cables?4. What is the break even volume (without units)?For parts 1, 2, and 3, answer to the nearest cent. For part 4, answer to one decimal place (don't round up to the nearest whole unit).Answer:1. Contribution margin =2. Profit function: Profit=3. Profit or loss =4. Break even volume =

Solution 1: Contribution margin per cable = Selling price - Variable cost = $2.60 - $0.72 = $1.88…

Answered: Samsung manufacturers USB charging…

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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Night Shades Inc. (NSI) manufactures biotech sunglasses. These sunglasses sell for $150 each, and cost $70 each to produce. Night Shades Inc. has fixed costs of $100,000. a. Calculate Night Shades' Breakeven point. b. how much profit (loss) will Night Shades have if it sells 500 sunglasses? 4,000 sunglasses? c. Night Shades' manager expects an operating profit of $200,000, How many sunglasses must be sold to attain this profit?
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
Required: 1. Complete the following table. 2. Suppose Sandy Bank sells its canoes for $590 each. Calculate the contribution margin per canoe and the contribution margin ratio. 3. This year Sandy Bank expects to sell 760 canoes for $590 each. Prepare a contribution margin income statement for the company. 4. Calculate Sandy Bank's break-even point in units and in sales dollars. Sandy Bank sells its canoes for $590 each. 5. Suppose Sandy Bank wants to earn $76,000 profit this year. Calculate the number of canoes that must be sold to achieve this target. Sandy Bank sells its canoes for $590 each. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete the following table. Note: Round your "Cost per Unit" answers to 2 decimal places. Number of Canoes Produced and Sold Total costs Variable Costs Fixed Costs Total Costs Cost per Unit Required 3 Required 4 Variable Cost per Unit Fixed Cost per Unit Total Cost per Unit $ $ $ 500 Required 5 780 0 0.00
1. ABC Taxi has an average fixed cost of $8,000 a year for each car. Each mile driven has variable cost $.40 and collect fares of $.60. How many miles a year does each car have to travel before making profit? a. ABC company is contemplating adding a new line of product, which will require leasing new equipment for a monthly payment of $12,000. Variable costs would be $15.00 per product, and selling price per product is $40. What would be profit or loss if business sell 600 of these products? b. If 800 quantity of products can be sold, and a profit target is $10,000, what price should be charged for each product?
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Witrox Bhd sells two models of smartphone, the Oppo and the Xiaomi. Oppo RM 60.0 35.0 25.0 Sales price per unit Variable cost per unit Contribution margin per unit Witrox has determined that it would break even at an annual sales volume of 50,000 units, of which 75% would be Oppo. Required: a) What are the contribution margin ratios for each product and the company? b) What is the amount of Witrox's estimated annual fixed costs? Xiaomi RM 85.0 54.0 31.0 c) What is the sales mix? d) Prepare a product line income statement with operating income of RM500,000. Fixed production costs will increase RM45,000 and fixed administrative costs will increase RM22,500 to support the increase in volume.
2. Company XYZ sells CDs. The price of its new CD is $15. Fixed costs are $1,500,000 per year. Variable costs are $9. The company expects to sell 300,000 units this year. a. How many DVDS will the company need to sell to break even? b. If the forecasts are correct, how much will company XYZ make or lose this year (before taxes)?
NUBD Co. plans to market a new product. Based on its market studies. It estimates that it can sell 70,000 units in 2021. The selling price per unit is P2.00. Variable cost ratio is 40% of sales. Fixed Costs are estimated to be P60,000. 1. Compute the break even point in units 2. Compute the break even point in sales pesos.

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