Sunn Company manufactures a single product that sells for $210 per unit and whose variable costs are $168 per unit. The company'sannual fixed costs are $575,400.(a) Compute the company's contribution margin per unit.Contribution margin(b) Compute the company's contribution margin ratio.1Numerator:(c) Compute the company's break-even point in units.11Numerator:Denominator:Numerator:Denominator:(d) Compute the company's break-even point in dollars of sales.11Denominator:IIContribution Margin RatioContribution margin ratioBreak-Even UnitsBreak-even units0Break-Even DollarsBreak-even dollars< Prev04 of 8Next >4

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

Answered: Sunn Company manufactures a single…

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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Information concerning a product produced by Jordan Company appears as follows. Sales price per unit Variable cost per unit $ 160 $ 89 Total annual fixed manufacturing and operating costs $ 454,400 Required Determine the following: a. Contribution margin per unit. b. Number of units that Jordan must sell to break even. c. Sales level in units that Jordan must reach to earn a profit of $163,300. a. Contribution margin per unit b. Break-even in units c. Required sales in units A
Rooney Corporation sells products for $28 each that have variable costs of $15 per unit. Rooney's annual fixed cost is $301,600. Required Use the per-unit contribution margin approach to determine the break-even point in units and dollars. Break-even point in units Break-even point in dollars
A cement manufacturer has supplied the following data: Tons of cement produced and sold Sales revenue Variable manufacturing expense Fixed manufacturing expense Variable selling and administrative expense Fixed selling and administrative expense Net operating income What is the company's unit contribution margin? (Round your intermediate calculations to 2 decimal places.) Multiple Choice $2.00 per unit $0.32 per unit O $4.30 per unit 235,000 $1,010,500 $ 416,000 $ 275,000 $ 54,000 $ 215,000 $ 50,500 $2.30 per unit
Crescent Lighting Inc. produces and sells lighting fixtures. An entry light has a total cost of $66 per unit, of which $33 is product cost and $33 is selling and administrative expenses. In addition, the total cost of $66 is made up of $45 variable cost and $21 fixed cost. The desired profit is $12 per unit. Determine the markup percentage on product cost. Round the answer to nearest whole number.
Ferrante Company sells 15,000 units at $47 per unit. Variable costs are $31.96 per unit, and fixed costs are $76,700. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) income from operations. a. Contribution margin ratio (Enter as a whole number.) fill in the blank 1 % b. Unit contribution margin (Round to the nearest cent.) $fill in the blank 2 per unit c. Income from operations $fill in the blank 3
Sunn Company manufactures a single product that sells for $120 per unit and whose variable costs are $90 per unit. The company's annual fixed costs are $432.000 Management targets an annual income of $750,000. (1) Compute the unit sales to earn the target income. Numerator: 1 Denominator: (2) Compute the dollar sales to earn the target income.. Numerator: Denominator P M = Units to Achieve Target Units to achieve target Dollars to Achieve Target Dollars to achieve target
Rooney Corporation sells products for $38 each that have variable costs of $17 per unit. Rooney's annual fixed cost is $493,500. Required Use the per-unit contribution margin approach to determine the break-even point in units and dollars. Break-even point in units Break-even point in dollars
4.
ABC Ltd produces a single product. The selling price is OMR 50 a unit and the variable costs is OMR 30 a unit. The annual fixed costs of the business are OMR 4000. calculate BEP in units Select one: O a. 210 Units O b. 200 Units O c. 220 Units O d. 250 Units
Fill the tables
Drake Company produces a single product. Last year's income statement is as follows: Sales (21,000 units) $1,278,900 Less: Variable costs 879,900 Contribution margin $399,000 Less: Fixed costs 259,800 Operating income $139,200 Required: Question Content Area 1. Compute the break-even point in units and sales revenue. In your computations, round the contribution margin per unit to the nearest cent and round the contribution margin ratio to four decimal places. Round your final answers to the nearest whole unit or dollar. Break-even units units Break-even dollars 2. What was the margin of safety in dollars for Drake Company last year? Round your final answer to the nearest whole dollar.
The company has a desired net income of $53,991 per service outlet. What is the dollar amount of each type of service that must be performed by each service outlet to meet its target net income per outlet? (Use Weighted-Average Contribution Margin Ratio rounded to 2 decimal places eg. 0.25 and round final answers to O decimal places, eg. 2,510.) Sales Dollars Needed Per Service Outlet Oil changes Brake repair $

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