16. Yakal Co. Show the ff budgeted data for the year 1984.Estimated Sales18,000 unitsEstimated CostsAmountPer unitDirect laborP54,0008,10013,50016,200P91,800P3.00materials.45Fixed overhead.75Administrative expenses.90TotalP5.10Selling expenses are expected to be 20% of sales and profit before tax is profit is to amount to P1.50 per unit. Inorder to attain the company's goal for 1984, the selling price per unit must be set atA. P5.10В. Р6.60С. Р8.25D. P9.75

Selling Price:The selling price of a product or service is the seller’s final price, i.e., how much…

Selling expenses are expected to be 20% of sales and profit before tax is profit is to amount to P1.50 per unit. In order to attain the company's goal for 1984, the selling price per unit must be set at A DE 10

Selling expenses are expected to be 20% of sales and profit before tax is profit is to amount to P1.50 per unit. In order to attain the company's goal for 1984, the selling price per unit must be set at A DE 10

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: The accountant at Paige Company has determined that income before income taxes amounted to $8,400…

A: Lets understand the basics.In FIFO basis entity assumes goods purchase first are sold first.On other…

Q: A company has a total fixed cost of 500.000 TL and produced 1.000.000 TL of profit this year. What…

A: The net income is the net profit of the company earned during the period. The net income includes…

Q: A company, subject to a 25% tax rate, desires to earn P600,000 of after-tax income. How much should…

A: Tax rate = 25% Desired earning after tax = P600,000 Earning before tax shall be added to fixed…

Q: The break-even point in sales for The Company is $390,000, and the company's contribution margin…

A: Break-even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…

Q: Monster Inc. sells 100,000 for $120 a unit. Fixed costs are $300,000, and net income is $200,000.…

A: Contribution Margin :— It is the difference between sales revenue and variable expenses. Net…

Q: Suppose that there is a customer expected to annually generate $1,500 of gross contribution. With…

A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: Assume a company sold 28,000 units last year and ncrease the sales commission by $2 per unit. What…

A: Units sold means the number of goods sold by the entity in the market during a particular period.…

Q: For the most recent quarter, Baffle company had an after-tax profit of $62,720 from sales of 225,000…

A: Contribution margin is the difference between the sales and the variable cost. The contribution…

Q: A product sells for ₱10 per unit and has variable expenses of ₱6 per unit. Fixed expenses total…

A: Given, Sale per unit = ₱10 Variable expenses per unit = ₱6 Total fixed expenses = ₱45,000 After tax…

Q: For its most recent fiscal year, a firm reported that its contribution margin was equal to 60…

A: The contribution margin is calculated as difference between sales and variable costs. The operating…

Q: Gross profit margin is 40%, tax rate is 30%: Sales year 1: 45000, year 2: 54000, year 3: 64800 (is…

A: Net income is referred to the income earned by an organization or an individual proprietor after…

Q: Last year, Flynn Company reported a profit of $70,000 when sales totaled $520,000 and the…

Q: Your company has sales of $97,200 this year and cost of goods sold of $71,200. You forecast sales…

A: The percent of sales method is a financial analysis technique that is used to estimate future…

Q: Last year, Bridgerton Co. had sales of $1,625,000 on the sale of 25,000 units, variable costs of…

A: The break-even sales are the sales where business earns no profit or loss during the period. The…

Concept explainers

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.

Question

16. Yakal Co. Show the ff budgeted data for the year 1984.
Estimated Sales
18,000 units
Estimated Costs
Amount
Per unit
Direct labor
P54,000
8,100
13,500
16,200
P91,800
P3.00
materials
.45
Fixed overhead
.75
Administrative expenses
.90
Total
P5.10
Selling expenses are expected to be 20% of sales and profit before tax is profit is to amount to P1.50 per unit. In
order to attain the company's goal for 1984, the selling price per unit must be set at
A. P5.10
В. Р6.60
С. Р8.25
D. P9.75

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Required information [The following information applies to the questions displayed below.] Henna Co. produces and sells two products, T and O. It manufactures these products in separate factories and markets them through different channels. They have no shared costs. This year, the company sold 46,000 units of each product. Sales and costs for each product follow. Product 0 $ 800,400 160,080 640,320 512,320 128,000 44,800 Product T $ 800,400 640,320 Sales Variable costs Contribution margin 160,080 32,080 128,000 44,800 $ 83,200 Fixed costs Income before taxes Income taxes (35% rate) Net income $ 83, 200
Sarratt Corporation's contribution margin ratio is 70% and its fixed monthly expenses are $38,000. Assume that the company's sales for May are expected to be $97,000. Required: Estimate the company's net operating income for May, assuming that the fixed monthly expenses do not change. Net operating income
A product is bought for an amount of P50,000 which will be sold after 7 years.Calculate the constant declining percentage(k). Use Double Declining Balance Method.
3) A shoe retailer plans, for the period, net sales of $3,000,000 with a 20% profit and 25% operating expenses. The anticipated markdowns are 15%, along with sales discounts at 2% and shortages of 3%. Cash discounts to be earned are estimated at 5%, and alterations are 1% of net sales. What initial markup % is needed for this retailer's merchandise to achieve the desired profit goal?