You are given the following information about Zephyr Company in 2021: The Company’s fixed costs are expected to be $195,000, the selling price per unit is $17, and the variable cost per unit is $5. The company wants to earn a net income of $84,000 during 2021. The required sales units to meet the target net income during 2021 is _.

You are given the following information about Zephyr Company in 2021: The Company’s fixed costs are expected to be $195,000, the selling price per unit is $17, and the variable cost per unit is $5. The company wants to earn a net income of $84,000 during 2021. The required sales units to meet the target net income during 2021 is _.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 9EB: The cost data for BC Billing Solutions for the year 2020 is as follows: Using the high-low method,...

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You are given the following information about Zephyr Company in 2021: The Company’s fixed costs are expected to be $195,000, the selling price per unit is $17, and the variable cost per unit is $5. The company wants to earn a net income of $84,000 during 2021. The required sales units to meet the target net income during 2021 is _.
The sales price per unit would be?
You have the following information about a company in 2021: Total Costs were $174.7 million. Assume the Variable Costs were 60% and the rest were Fixed Costs. Sales Volume in thousands was 361.7 and will not change in the future. Cost inflation in 2022 was 5%. What was the variable cost per unit in 2022? Select one: O A. $290.1 O B. $105.2 O C. $483.5 O D. $304.3
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In 2020, National Co. sold 1,000 units at P500 each, and earned net income of P40,000. Variable expenses were P300 per unit, and fixed expenses were P160,000. The same selling price is expected for 2021. National Co.’s variable cost per unit will rise by 10% in 2021 due to increasing material costs, so they are tentatively planning to cut fixed costs by P10,000. How many units must National Co. sell in 2021 to maintain the same income level as 2020?
Jessup Company expects to incur overhead costs of $20,000 per month and direct production costs of $125 per unit. The estimated production activity for the upcoming year is 1,000 units. If the company desires to earn a gross profit of $50 per unit, the sales price per unit would be which of the following amounts? Answer this
Harrison Co. expects to sell 200,000 units of its product next year, which would generate total sales of $17 million. Management predicts that pretax net income for next year will be $1,250,000 and that the contribution margin per unit will be $25. Use this information to compute next year’s total expected (a) variable costs and (b) fixed costs.
Please help me with calculation
Kreter, Inc. earned net income of $300,000 last year. This year it wants to earn net income of $450,000. The company's fixed costs are expected to be $300,000, and variable costs are expected to be 70% of sales. Determine the required sales to meet the target net income of $450,000 using the mathematical equation. Required sales $ Using a CVP income statement format, prove your answer. Fixed costsTarget net income / (Loss)SalesVariable costsContribution margin $ Contribution marginFixed costsTarget net income / (Loss)SalesVariable costs Contribution marginSalesVariable costsFixed costsTarget net income / (Loss) Fixed costsVariable costsSalesTarget net income / (Loss)Contribution margin SalesFixed costsContribution marginVariable costsTarget net income / (Loss) $
What are the required sales?
ABB Company reported the results from sales of 5,000 units of Product Y for April 2022. See image.Assume that ABB plans to increase the selling price of Product Y by 10% in June 2022. How many units of the product would have to be sold to maintain an operating income of P20,000? Assume that ABB plans to increase the selling price of Product Y by 10% in June 2022. How many units of the product would have to be sold to earn a net income of P48,000? ABB is subject to 25% corporate income tax.
What are the required sales? accounting