9. Jackson, Ltd. produces a bicycle pump. The sales price per unit is $18.98. Fixed costs are $84 000. The variable cost per unit is $11.98. Find the profit on sales of 15 000 units.
Q: Vicious Cycle, Inc., produces and sells 2,000 bikes. Selling price per unit $2,000 Variable cost per…
A: Contribution margin per unit = Selling price per unit - Variable Cost per unit
Q: Lin Corporation has a single product whose selling price is $120 and whose variable expense is $80…
A:
Q: Your company manufactures bikes that sell for $10,000. Unit variable costs are $6,000 and…
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A: Answer: Option c
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Q: Pepper Inc. produces lacrosse sticks. The selling price per stick is $42. Their variable cost per…
A: given that, Selling price per unit = $42 Variable cost per unit = $28 Fixed cost per unit = $12…
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A: Margin of safety refers to the amount of how much the output or sales level can fall before a…
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A: Annual profit = Contribution margin - Annual overhead costs where, Contribution margin = (Sales per…
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A: Fixed cost = total costs x 75% = $80000 x 75% = $60,000 Variable cost = total costs x 25% =…
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A: Cost volume profit analysis is the technique used by the management for decision-making. These…
Q: Kappa Inc. produces a product that has a variable cost of $8/unit. The company's fixed costs are…
A: Solution: Contribution margin per unit = sales price - variable cost = 12 - 8 = $4 per unit Break…
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A: Here in this question we are required to calculate sales that requires to achieve target profit. For…
Q: Vicious Cycle, Inc., produces and sells 2,000 bikes. Selling price per unit Variable cost per unit…
A: Contribution margin: Difference between the sales and the variable costs is called contribution…
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A: Introduction: Contribution margin per unit: Deduction of all variable costs from the sales price…
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A: Formula: Contribution margin = Selling price per unit - variable cost per unit Deduction of variable…
Q: A company has monthly fixed costs of $36,000. The variable costs are $2.50 per unit. If the sales…
A: Since there are multiple questions, we will solve only first for you. To get the remaining question…
Q: ABD Corporation has the following information about its single product: Selling Price per unit ₱20…
A: Selling price per unit P20.00 Less: Variable Costs per Unit P12.00 Unit Contribution Margin…
Q: Saved Orchid Corp. has a selling price of $15, variable costs of $12 per unit, and fixed costs of…
A: Contribution margin per unit = selling price - variable costs per unit = $15 - $12 = $3 per unit
Q: Campbell Company has fixed costs of $200,000, sales price of $50, and variable cost of $30 per unit.…
A: To earn a target profit of $50,000, Campbell must earn a contribution margin of $250,000…
Q: didas Co., has a sale of $2,100,000 (7,000 units), fixed expenses are $504,000, and the contribution…
A: Sales price per unit = Total sales / no. of units sold = $2,100,000 / 7,000 units = $300 per unit
Q: The Marietta Company has fixed costs of $40,000 and variable costs are 75% of the selling price. To…
A: Variable cost indicates the flexible cost, the change in which is depend upon the change in activity…
Q: Bozo Company has total costs of $90,000 when it sells 20,000 units. If total fixed costs are…
A: The total cost of product= $ 90000 Total fixed cost= $ 30000 Total variable cost= Total cost- total…
Q: e of $100,000?
A: Given: To calculate the units in which realizes an operating income as,
Q: Company XYZ is producing and selling 2,500 . At this level , the selling price per unit is $10, the…
A: As per CVP equation, Net profit = Sales - Variable costs - Fixed costa
Q: A company has monthly fixed costs of $36,000. The variable costs are $2.50 per unit. If the sales…
A: Unit Contribution Margin = Selling Price per unit - Variable cost per unit
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A: Given: Variable cost per unit = $ 6 Fixed costs = $ 30,000 Cost of product sold = $ 10 Estimated…
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A: We know that under marginal costing technique profit is Operating profit = Sales revenue - Variable…
Q: Hemlock, Inc. sells equipment for $80. Its variable cost is $45 per unit and its fixed costs are a…
A: SOLUTION- GIVEN, SELLING PRICE PER UNIT = 80$ UNITS = 5000 UNITS VARIABLE COST = 45 VARIABLE COST…
Q: Jackson, Ltd. produces a bicycle pump. The sales price per unit is $18.98. Fixed costs are $84 000.…
A: Sales - Variable costs = Contribution margin Contribution margin - Fixed costs = Profit
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A: The cost-volume-profit analysis or the CVP analysis is a method or technique used in cost accounting…
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A: The break even sales are the sales where business earns the no profit no loss during the period.
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A: Break even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…
Q: One company sells a product at $ 40 and its variable costs are $ 30 per unit, while the company's…
A: Introduction: Margin of safety = Actual sales value - Break even sales value Deduction of break even…
Q: A company currently sells 400 units at a sales price of $300. Its contribution margin is 40%, and…
A: The calculation of Margin of safety is shown hereunder : Actual sales = $ 120,000 ( 400 units × $…
Q: Lin Corporation has a single product whose selling price is $120 per unit and whose variable expense…
A: Calculate the unit sales needed to attain a target profit of $10,000: 1. Contribution margin per…
Q: Company XYZ is a car navigation system manufacturer. The company sells each unit for $500. The…
A: We know that under Marginal costing Profit = Sales revenue - Variable cost - Fixed cost It is…
Q: ABC Corporation has the following information about its single product: Selling Price per unit ₱ 20…
A: The break even sales are the sales where business earns no profit no loss during the period. The…
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A: Units that must be sold to achieve target profit means units at which business is recovering its…
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A: Cost volume profit analysis is the technique used by the management for decision-making. The methods…
Q: Snower Corporation sells product G for $150 per unit, the variable cost per unit is $105, and the…
A: Introduction:- Snower Corporation sells product G for $150 per unit variable cost per unit is $105…
Q: Company XYZ produces and sells 40,000 units.at this level, the company is making a profit of…
A: The selling price per unit is determined by dividing the total sales amount by the total number of…
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A: Number of additional units sold = Increase in sales/selling price
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A: Given: The values are, fixed costs of $354,000. Its single product sells for $175 per unit, and…
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- Delta Co. sells a product for $150 per unit. The variable cost per unit is $90 and fixed costs are $15,250. Delta Co.s tax rate is 36% and the company wants to earn $44,000 after taxes. What would be Deltas desired pre-tax income? What would be break-even point in units to reach the income goal of $44,000 after taxes? What would be break-even point in sales dollars to reach the income goal of $44000 after taxes? Create a contribution margin income statement to show that the break-even point calculated in B, generates the desired after-tax income.Schylar Pharmaceuticals, Inc., plans to sell 130,000 units of antibiotic at an average price of 22 each in the coming year. Total variable costs equal 1,086,800. Total fixed costs equal 8,000,000. (Round all ratios to four significant digits, and round all dollar amounts to the nearest dollar.) Required: 1. What is the contribution margin per unit? What is the contribution margin ratio? 2. Calculate the sales revenue needed to break even. 3. Calculate the sales revenue needed to achieve a target profit of 245,000. 4. What if the average price per unit increased to 23.50? Recalculate: a. Contribution margin per unit b. Contribution margin ratio (rounded to four decimal places) c. Sales revenue needed to break even d. Sales revenue needed to achieve a target profit of 245,000Polaris Inc. manufactures two types of metal stampings for the automobile industry: door handles and trim kits. Fixed cost equals 146,000. Each door handle sells for 12 and has variable cost of 9; each trim kit sells for 8 and has variable cost of 5. Required: 1. What are the contribution margin per unit and the contribution margin ratio for door handles and for trim kits? 2. If Polaris sells 20,000 door handles and 40,000 trim kits, what is the operating income? 3. How many door handles and how many trim kits must be sold for Polaris to break even? 4. CONCEPTUAL CONNECTION Assume that Polaris has the opportunity to rearrange its plant to produce only trim kits. If this is done, fixed costs will decrease by 35,000, and 70,000 trim kits can be produced and sold. Is this a good idea? Explain.
- 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. 11,200Faldo Company produces a single product. The projected income statement for the coming year, based on sales of 200,000 units, is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. Suppose that 30,000 units are sold above the break-even point. What is the profit? 2. Compute the contribution margin ratio and the break-even point in dollars. Suppose that revenues are 200,000 greater than expected. What would the total profit be? 3. Compute the margin of safety in sales revenue. 4. Compute the operating leverage. Compute the new profit level if sales are 20 percent higher than expected. 5. How many units must be sold to earn a profit equal to 10 percent of sales? 6. Assume the income tax rate is 40 percent. How many units must be sold to earn an after-tax profit of 180,000?Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of $30. The companys monthly fixed expenses are $22,500. What is the companys break-even point in units? What is the companys break-even point in dollars? Construct a contribution margin income statement for the month of September when they will sell 900 units. How many units will Maple need to sell in order to reach a target profit of $45,000? What dollar sales will Maple need in order to reach a target profit of $45,000? Construct a contribution margin income statement for Maple that reflects $150,000 in sales volume.
- Marlin Motors sells a single product with a selling price of $400 with variable costs per unit of $160. The companys monthly fixed expenses are $36,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of November when they will sell 130 units. How many units will Marlin need to sell in order to realize a target profit of $48,000? What dollar sales will Marlin need to generate in order to realize a target profit of $48.000? Construct a contribution margin income statement for the month of February that reflects $200,000 in sales revenue for Marlin Motors.Cadre, Inc., sells a single product with a selling price of $120 and variable costs per unit of $90. The companys monthly fixed expenses are $180,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of October when they will sell 10,000 units. How many units will Cadre need to sell in order to realize a target profit of $300,000? What dollar sales will Cadre need to generate in order to realize a target profit of $300,000? Construct a contribution margin income statement for the month of August that reflects $2,400,000 in sales revenue for Cadre, Inc.Gelbart Company manufactures gas grills. Fixed costs amount to 16,335,000 per year. Variable costs per gas grill are 225, and the average price per gas grill is 600. Required: 1. How many gas grills must Gelbart Company sell to break even? 2. If Gelbart Company sells 46,775 gas grills in a year, what is the operating income? 3. If Gelbart Companys variable costs increase to 240 per grill while the price and fixed costs remain unchanged, what is the new break-even point?
- Kerr Manufacturing sells a single product with a selling price of $600 with variable costs per unit of $360. The companys monthly fixed expenses are $72,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of January when they will sell 500 units. How many units will Kerr need to sell in order to realize a target profit of $120,000? What dollar sales will Kerr need to generate in order to realize a target profit of $120,000? Construct a contribution margin income statement for the month of June that reflects $600,000 in sales revenue for Kerr Manufacturing.Abilene Industries manufactures and sells three products (XX, W, and ZZ). The sales price and unit variable cost for the three products are as follows: Their sales mix is reflected as a ratio of 4:2:1. Annual fixed costs shared by the three products are $345.000 per year. What are total variable costs for Abilene with their current product mix? Calculate the number of units of each product that will need to be sold in order for Abilene to break even. What is their break-even point in sales dollars? Using an income statement format, prove that this is the break-even point.Manatoah Manufacturing produces 3 models of window air conditioners: model 101, model 201, and model 301. The sales price and variable costs for these three models are as follows: The current product mix is 4:3:2. The three models share total fixed costs of $430,000. Calculate the sales price per composite unit. What is the contribution margin per composite unit? Calculate Manatoahs break-even point in both dollars and units. Using an income statement format, prove that this is the break-even point.
