Solve this question financial accounting Use the data given below.Sales$66,000Variable costs:Cost of goods sold$37,000Variable selling$3,700Variable administrative$3,500Fixed costs:Fixed selling$2,500Fixed administrative$1,500A. What is the gross margin now?B. What is the net operating income now?C. What is the contribution margin now?

Step 1: Define Gross Profit MarginA company's cost of goods sold is deducted from its net sales to…

Answered: Use the data given below. Sales $66,000…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 4EA: A product has a sales price of $250 and a per-unit contribution margin of $75. What is the...

See similar textbooks

Similar questions

Please help me with all I will give upvote
Provide correct answer general accounting
In the cost-volume- profit graph (above), what is represented by the point marked "B"? Question 2 options: Breakeven point Fixed expenses Operating income area Operating loss area
In the cost-volume- profit graph (above), what is represented by the point marked "A"? Question 1 options: Breakeven point Fixed expenses Operating income area Operating loss area
APPLY THE CONCEPTS: Target income (sales revenue) Another useful method for figuring out the type of performance your company will need to reach a target income is by using sales revenue. Rather than using the number of units, this method uses total sales revenue. In companies for which the total set of goods produced and sold is more varied, this would be the preferred method, as opposed to a business in which only one product is sold. Assume a company has pricing and cost information as follows: Price and Cost Information Amount Selling Price per Unit $30 Variable Cost per Unit $15 Total Fixed Cost $15,000 For the upcoming period, the company wishes to generate operating income of $40,000. Given the cost and pricing structure for the company's product, how much sales revenue must it generate to attain its target income? Step 1: Calculate the contribution margin ratio: The contribution margin ratio is the contribution margin in proportion to the selling price on a per-unit basis.…
Cost, revenue, and profit are in dollars and x is the number of units. If the total profit function is P(x) = 3x – 18, find the marginal profit MP. MP = What does this mean? O This is the total cost. O The next unit sold costs this much to make. O This is the total revenue. O The next unit sold earns this much profit. O This is the total profit.
Assume that the linear cost and revenue models apply. An item costs $13 to make. If fixed costs are $1600 and profits are $5700 when 100 items are made and sold, find the revenue equation. (Let x be the number of items.)R(x) =
What is the unit contribution margin on these accounting question?
In the cost-volume- profit graph (above), what is represented by the point marked "D"? Question 3 options: Operating loss area Operating income area Breakeven point Fixed expenses
(a) What is the gross margin now? (b) What is the net operating income now? (c) What is the contribution margin now?
Please help fill in the rest of the table on based on Cost-Volume-Profit relationship
Contribution income statement Top Disc manufactures flying disks. The following information is available for the year, the company's first year in business when it produced 325,000 units. Revenue of $812,500 was generated by the sale of 325,000 flying disks. Production Direct material Direct labor Manufacturing overhead Selling and administrative Variable Cost Fixed Cost $150,000 100,000 75,000 $112,500 90,000 100,000

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS