
1.
To compute: Projected net income for 2014.
Given information:
Selling price per unit is $35.
Variable cost per unit is $18.50.
Fixed costs are $214,500.
Units to be sold are 22,000 units.
Tax rate is 40%.
2.
To compute: Break-even points in units.
Given information:
Selling price per unit is $35.
Variable cost per unit is $18.50.
Fixed costs are $214,500.
3.
To compute: Net income for 2015.
Given information:
Selling price per unit is $35.
Variable cost per unit is $18.50.
Revenue target is $875,000 or 25,000 bowls
Fixed costs are
Tax rate is 40%.
4.
To compute: Break-even points in units for 2015.
Given information:
Selling price per unit is $35.
Variable cost per unit is $18.50.
Fixed costs are
5.
To compute: Budgeted revenue for 2015.
Given information:
Selling price per unit is $35.
Variable cost per unit is $18.50.
Fixed costs are
Net income is equal to the net income of 2017 which is $89,100.
Tax rate is 40%.
6.
To compute: Break-even points in units for 2015.
Given information:
Selling price per unit is $35.
Variable cost per unit is $18.50.
Fixed costs are
Net income is $108,450.
Expected sales are 25,000 units.
Tax rate is 40%.

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Chapter 3 Solutions
EBK COST ACCOUNTING
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