The condensed income statement for the Kimberly and Matthew partnership for 2022 is as follows. Kimberly and Matthew Company Income Statement For the Year Ended December 31, 2022 Sales (270,000 units) Cost of goods sold Gross profit Operating expenses Selling Administrative Net loss $1,350,000 936,000 414,000 $270,000 156,600 426,600 $(12,600) A cost behavior analysis indicates that 75% of the cost of goods sold are variable and 42% of the selling expenses are variable. Administrative expenses are $94,500 fixed. (a) Compute the break-even point in sales dollars and in sales units for 2022. (Round intermediate calculations to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 2,520.) Break-even point in sales dollars $ Break-even point in units units

The condensed income statement for the Kimberly and Matthew partnership for 2022 is as follows. Kimberly and Matthew Company Income Statement For the Year Ended December 31, 2022 Sales (270,000 units) Cost of goods sold Gross profit Operating expenses Selling Administrative Net loss $1,350,000 936,000 414,000 $270,000 156,600 426,600 $(12,600) A cost behavior analysis indicates that 75% of the cost of goods sold are variable and 42% of the selling expenses are variable. Administrative expenses are $94,500 fixed. (a) Compute the break-even point in sales dollars and in sales units for 2022. (Round intermediate calculations to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 2,520.) Break-even point in sales dollars $ Break-even point in units units

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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Blossom Inc. had sales of $2,300,000 for the first quarter of 2020. In making the sales, the company incurred the following costs and expenses. Variable Fixed Cost of goods sold $936,000 $473,000 Selling expenses 119,000 71,000 Administrative expenses 116,000 120,000 Prepare a CVP income statement for the quarter ended March 31, 2020. BLOSSOM INC. CVP Income Statement For the Quarter Ended March 31, 2020
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Pharoah Beauty Corporation manufactures cosmetic products that are sold through a network of sales agents. The agents are paid a commission of 22% of sales. The income statement for the year ending December 31, 2025, is as follows. PHAROAH BEAUTY CORPORATION Income Statement For the Year Ended December 31, 2025 Sales | Cost of goods sold Variable Fixed Gross profit Selling and marketing expenses Commissions Fixed costs Operating income $30,760,000 8,580,000 $16,918,000 10,070,400 $76,900,000 39,340,000 $37,560,000 26,988,400 $10,571,600 (a) ✓ Your answer is correct. Under the current policy of using a network of sales agents, calculate the Pharoah Beauty Corporation's break-even point in sales dollars for the year 2025. (b) Break-even point $ eTextbook and Media Calculate the company's break-even point in sales dollars for the year 2025 if it hires its own sales force to replace the network of agents. Break-even point $ eTextbook and Media Save for Later Attempts: 1 of 2 used The…