Westwood Company reported sales of $4,800,000 for the month and incurred variable expenses totaling $3,200,000 and fixed expenses totaling $960,000. The company has no beginning or ending inventories. A total of 60,000 units were produced and sold last month. How many units would the company have to sell to achieve a desired profit of $640,000? A. 75,000 units B. 80,000 units C. 60,000 units D. 100,000 units

Westwood Company reported sales of $4,800,000 for the month and incurred variable expenses totaling $3,200,000 and fixed expenses totaling $960,000. The company has no beginning or ending inventories. A total of 60,000 units were produced and sold last month. How many units would the company have to sell to achieve a desired profit of $640,000? A. 75,000 units B. 80,000 units C. 60,000 units D. 100,000 units

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 22E: Ellerson Company provided the following information for the last calendar year: During the year,...

See similar textbooks

Similar questions

Last year, Orsen Company produced 25,000 juicers and sold 26,500 juicers for 60 each. The actual variable unit cost is as follows: Fixed overhead was 320,000. Fixed selling expenses consisted of advertising copayments totaling 110,000. Fixed administrative expenses were 236,000. There were no beginning and ending work-in-process inventories. Beginning finished goods inventory was 148,000 for 4,000 juicers. The value of ending inventory reported on the financial statements was Refer to the information in 2.24. The gross margin percentage for last year was a. 12.57% b. 55.67% c. 28.95% d. 38.33%
Last year, Orsen Company produced 25,000 juicers and sold 26,500 juicers for 60 each. The actual variable unit cost is as follows: Fixed overhead was 320,000. Fixed selling expenses consisted of advertising copayments totaling 110,000. Fixed administrative expenses were 236,000. There were no beginning and ending work-in-process inventories. Beginning finished goods inventory was 148,000 for 4,000 juicers. The value of ending inventory reported on the financial statements was a. 55,500 b. 92,500 c. 66,500 d. 39,900
Starling Co. manufactures one product with a selling price of 18 and variable cost of 12. Starlings total annual fixed costs are 38,400. If operating income last year was 28,800, what was the number of units Starling sold? a. 4,800 b. 6,400 c. 5,600 d. 11,200
Astair, Inc.
Quine Inc. reported sales of $8,500,000 for the month and incurred variable expenses totaling $6,300,000 and fixed expenses totaling $1,500,000. The company has no beginning or ending inventories. A total of 90,000 units were produced and sold last month. How many units would the company have to sell to achieve a desired profit of $1,200,000? (rounding up to the nearest whole unit)
ewer D) Portis, Inc. reported sales of $8,000,000 for the month and incurred variable totaling $5,600,000 and fixed expenses totaling $1,440,000. The company has no beginning or ending inventories. A total of 80,000 units were produced and sold last month. (Note that this is the same data that was provided for the previous question.) How many units would the company have to sell to achieve a desired profit of $1,200,000? expenses 88,000 A) 100,000 B) 106,668 C) 150,000 D) Inn renorted sales of $8.000,000 for the month and incurred variable expenses nu hor no
During August, Tyson Company sold 5,400 units and reported the following income statement: Sales revenue Variable costs Fixed costs Net income $216,000 $ 70,200 $ 86,400 $ 59,400 Calculate the number of units that Tyson Company needed to sell during August in order to earn a target profit equal to 30% of sales. 5,760
the estimated total fixed cost is:
The companys net operating income is
Oslo company prepared the following contrubition format income statement based on a sales volume of 1,000 unites (the relevant range of production is 500 units to 1,500 units). Sales.... $20,000 Variable expenses ... 12,000 Contribution margin .... 8,000 Fixed expenses ... 6,000 Net operating income... $2,000 4) If the sales increase to 1,001 units, what would be the increase in net operating income ? 5) If sales decline to 900 units , what would be the net operating income? 6) If selling price increases by $2 per unit and the sales volume decreases by 100 units , what would be the net operating income ?
Please give me answer
The following is Addison Corporation's contribution format income statement for last month: The company has no beginning or ending inventories. A total of 20,000 units were produced and sold last month. 1. How many units would the company have to sell to attain the target profit of $150,000?22,000B. 37,500C. 25,000D. 26,667 2. What is the company's margin of safety in dollars?$400,000B. $600,000C. $120,000D. $880,000 3. What is the company's degree of operating leverage?0.12B. 2.5C. 0.4D. 3.3