The company sells T-shirts with identical unit costs and selling prices. Shown below are the revenue and cost information: Unit Variable Data (per unit) Selling price Variable Cost Monthly Fixed Costs $140,000 $200,000 $40,000 Other fixed costs $20,000 $ 80.00 $30.00 Rent Salaries Advertising The company has no beginning or ending inventories. The company produced and sold 10,000 units last month. Required: a) Prepare the contribution format income statement for last month. b) Compute the breakeven sales in dollars. Compute the margin of safety percentage last month. c) Compute the degree of operating leverage. d) How many units should the company sell to achieve a target net operating income of $49.500? e) If the company plans to offer sales commission to salesperson and reduce the fixed salaries by 5%, it is estimated sales will increase by 300 units and net income will increase by $9,550. How much should be sales commission per unit? f) If the increase of sales by 500 units and net income increase by $9,550 can be achieved by price cut of $1 each and additional advertising, how much should the company increase the advertising costs?

Q: Draw ALL products of the following NH + H2O -->

A: Approach to solving the question: Detailed explanation: Examples: Key references:

Q: How is ARR calculated?

A: ARR: Accounting Rate of Return (ARR) is the rate of return earned on the investment made in a…

Q: Using the above information, calculate efn

A: Here, Sales is $48,800 Assets is $53,650 Spontaneous Liability (Accounts Payable) is $2,400 % Change…

Q: the difference between a W-4 form and W-2 form.

A: Form W-4: Employee’s withholding allowance certificate. This form is filled by employees for their…

Q: How to calculate PMT,  P/Y and C/Y

A: As per the given information: The time value of money concept states that earlier receipts are more…

Q: $25,000 to $49,999, 5.75% $50,000 to 99,999, 5% $100,000 to $249,999, 4% Nancy Dolan is interested…

A: The question is based on the concept of Financial Management.

Q: put these numbers in T form

A: T-Account A collection of financial records that employ double-entry accounting is referred to…

Q: What is a limit order?

A: Limit order It is such an order to buy or trade a security at or superior to a predefined cost. The…

Q: In an acquisition where 100% control is acquired, how would the land accounts of the parent and the…

A: A consolidated financial statement is a financial report that combines the financial statements of…

Q: Is DDM and CAPM suppose to be the same numbe

A: There are many ways to do valuation of stock one is DDM and other is CAPM these are two important…

Q: For what values of x is f(x) NOI differentidue:

A: At x=1 the given function is NOT DIFFERENTIABLE.  Because, at x=1 the value of the function is…

Q: What are the four basic assumptions underlie GAAP?

A:

Q: Y o u ’ r e  g e t t I n g   m a r r i e d   a n d   a r e   u n h a p p y   w i t h   y o u r   p r…

A: Choosing a new bank is an important decision that requires careful consideration of various factors.…

Q: confused on how the number for D is calculated

A: Bad debt is calculated on the value of sales receivable during the period.Bad debt is an expense…

Q: =FV(i, N, 0, P) =PV(i, N, 0, F) =FV(i, N, A) =PMT(i, N, 0, F)

A: Calculate value of fees for 18 to 22 at 18 as below: Resultant Table: Hence, value of fees at 18…

Q: ansawer

A: Where a partnership itself is generally not subject to income tax, individual partners (including…

Q: myedio.com Question 10 Use the diagram below to find each of the following: • sine of point a • cose…

A: Let take radius of the circuit = 1Point a,90° quadrant divided by 3 = 90°/3 = 30°So, point a at…

Q: (d) On what basis should management select from these two methods to depreciate the machine? Justify…

A: The management should opt for reducing balance method of depreciation for the above scenario: This…

Q: 1= 2(1+g) or D1 = 2? Why?

A: Companies pay dividend to shareholder out of net income but some of earnings are retained for the…

Q: What accounts should Free credit to record the issuance of the bonds and warrants? a. Bonds Payable…

A: Bonds payable is a liability account that holds the sum that the issuer owes bondholders.Given that…

Q: A $385,000 house is to be purchased for 25% down and monthly payments of $1200 for as long as…

A: PV is the current worth of cash flows that are expected to occur in the future.

Q: Why is this formula very important F = P( I + i)?

A: Time value of money (TVM) The thought cash you at present have would, later on, be worth more than a…

Q: what is 2 plus eight ?

A: The given sentence "2 plus eight" can be symbolically represented as 2+8. Thus, 2+8 is 10.

Q: Float is defined as the difference between the:

A: The formula to compute float as follows:

Balance of Payments

BOP is categorized into the following three components: