A company manufactures a single product with a selling price of ₱120. Fixed expenses total ₱450,000 and the company must sell 10,000 units to breakeven. Tax rate is 25%. If the target profit after tax is ₱210,000, how many units must be sold?
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A: Contribution margin per unit = Sales value - variable cost = 60 - 36 = 24 per…
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A: Break-even point: It can be defined as that level of production at which the company incurs no…
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A: Contribution per unit = P 35 Monthly fixed cost = P 50,000 Loan amount = P 50,000 Monthly interest…
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A: In order to determine the net profit, the total expenses are required to be subtracted from the…
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A: Break even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…
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A: Profits are the net income after deducting related expenses from total sales.
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A: let number of units be x sales = 30x profit = 0.45*30x = 13.5x
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A: Here in this question, we are require to answer various question. Lets start with basic…
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A: EOQ refers to the point where the ordering and carrying costs are equal. Because an imbalance in…
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A: Formula: Required sales units to earn a target profit = ( Fixed cost + target profit ) / Unit…
Q: C2 Company had sales of Php576,000 and variable costs of Php324,000. Fixed costs amount to Php96,000…
A: Contribution margin represents the part of sales that is available to cover fixed costs that is…
Q: A product sells for ₱40 per unit and has variable expenses of ₱26 per unit. Fixed expenses total…
A: Selling price = ₱40 Variable cost = ₱26 Fixed cost = ₱245000 Let the units for after tax profit of…
Q: A company that sells its single product for P40 per unit had after-tax net income for the past year…
A: Hi student Since there are multiple questions, we will answer only first question.
Q: A company that sells its single product for P40 per unit had after-tax net income for the past year…
A: Solution... Net income after tax = P1,188,000 Income before tax = Income after tax ÷ (100% - tax…
Q: 2. A company had a loss of P3 per unit when sales were P40,000 units. When sales were P50,000 units,…
A: Contribution per unit = dp/dq Where dp = difference in profit or loss dq = difference in quantity…
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A: Break-even analysis is a technique widely used by the production department. It helps to determine…
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A: Formula: Operating income = Avoidable fixed cost - decrease in contribution margin
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A: Total variable cost per unit = Direct materials + direct labor + variable overheads + selling…
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A: ECONOMIC order quantities is a order quantity which there is minimum holding and carrying cost…
Q: A product sells for ₱100 per unit and has a contribution margin of ₱45 per unit. Monthly fixed…
A: Unit price = P 100 Contribution per unit = P 45 Fixed cost = P 350,000 Loan amount = P 250,000…
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A: Given, Sale per unit = ₱10 Variable expenses per unit = ₱6 Total fixed expenses = ₱45,000 After tax…
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A: Sales volume = 500000 units Selling price per unit = P 0.50 Annual expenses = P 80000
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A: Breakeven sales is that level of sales at which business is only recovering only fixed costs and…
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A: Break-even point: A breakeven analysis is a calculation of the point at which revenue equals…
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A: sales - variable cost - fixed cost = net income / (1 - tax rate) 10,000*(140 - 92) - fixed cost =…
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A: The question is based on the concept of Cost Accounting. As per the Bartleby guidelines we are…
Q: A company manufactures a single product with a selling price of ₱180. Fixed expenses total ₱750,000…
A: Selling price (S) = ₱180 Fixed cost (F) = ₱750000 Let V = Variable cost per unit Breakeven units = n…
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A: Contribution margin ratio = 1- variable costs ratio = 1- 0.25 = 0.75 Total fixed costs = No. of…
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A: solution CVP analysis means cost volume profit analysis In CVP analysis the analyst analyses the…
Q: A company manufactures a single product with a selling price of ₱180. Fixed expenses total ₱750,000…
A: Selling price 180.00 Break-even sale units 15000 Break-even sale amount 15000*180…
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A: The net income is calculated as difference between sales and total costs incurred.
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A: Gains: Gains are the profits earned from non-operating activities of a business like sale of land,…
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A: Profit earned in last year = Number of units sold * Contribution margin per unit - Fixed expenses =…
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A: Answer) Calculation of Shipping Cost Assigned to the customer Shipping Cost Assigned to the customer…
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A: Break even Point ( Unit) = Fixed cost / Contribution Margin per unit Target unit to sell =…
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- Olivian Company wants to earn 420,000 in net (after-tax) income next year. Its product is priced at 275 per unit. Product costs include: Variable selling expense is 14 per unit; fixed selling and administrative expense totals 290,000. Olivian has a tax rate of 40 percent. Required: 1. Calculate the before-tax profit needed to achieve an after-tax target of 420,000. 2. Calculate the number of units that will yield operating income calculated in Requirement 1 above. (Round to the nearest unit.) 3. Prepare an income statement for Olivian Company for the coming year based on the number of units computed in Requirement 2. 4. What if Olivian had a 35 percent tax rate? Would the units sold to reach a 420,000 target net income be higher or lower than the units calculated in Requirement 3? Calculate the number of units needed at the new tax rate. (Round dollar amounts to the nearest dollar and unit amounts to the nearest unit.)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.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.
- Deuce Sporting Goods manufactures a high-end model tennis racket. The company’s forecasted income statement for the year, before any special orders, is as follows: Fixed costs included in the forecasted income statement are $400,000 in manufacturing cost of goods sold and $200,000 in selling expenses. A new client placed a special order with Deuce, offering to buy 1,000 tennis rackets for $100.00 each. The company will incur no additional selling expenses if it accepts the special order. Assuming that Deuce has sufficient capacity to manufacture 1,000 more tennis rackets, by what amount would differential income increase (decrease) as a result of accepting the special order? (Hint: First compute the variable cost per unit relevant to this decision.)A company manufactures a single product with a selling price of ₱180. Fixed expenses total ₱750,000 and the company must sell 15,000 units to breakeven. Tax rate is 25%. If the target profit after tax is ₱350,000, how many units must be sold? a. ₱ 16,223 b. ₱ 15,000 c. ₱ 5,000 d. ₱ 43,000 e. ₱ 26,000 f. ₱ 22,000*The units of production and sold are 25,000 units. Question: If Pacific Ocean Sdn. Bhd. wishes to earn a profit after tax of RM45,000 at 24% tax rate, how many units of products should be produced and sold in value? (Round up to nearest whole number)
- The company sells a product for ₱30 per unit. Fixed expenses total ₱100,000 and variable expense of ₱12 per unit. How many units must be sold to realize a profit of 45% of sales (ignoring tax)? a. 2,084 b. 6,778 c. 8,334 d. 11,029 e. 12,097A company manufactures a single product with a selling price of ₱180. Fixed expenses total ₱750,000 and the company must sell 15,000 units to breakeven. Tax rate is 25%. If the target profit after tax is ₱350,000, how many units must be sold? A company manufactures a single product with a selling price of ₱180. Fixed expenses total ₱750,000 and the company must sell 15,000 units to breakeven. Tax rate is 25%. If the target profit after tax is ₱350,000, how many units must be sold?Camp Corporation produces a single product that it currently sells for P10. Fixed expenses are P120,000 for the year and variable expenses are P6 per unit. In addition, Camp’s salespersons are paid a commission of 10% of their sales.If Camp spends an additional P10,000 on advertising, increases its selling price to P12 per unit, and sells 60,000 units, its net operating income would be?
- Camp Corporation produces a single product that it currently sells for P10. Fixed expenses are P120,000 for the year and variable expenses are P6 per unit. In addition, Camp’s salespersons are paid a commission of 10% of their sales.A customer has just approached Camp to make a special, one-time purchase of 10,000 units. These units would not be sold by the salespeople, and therefore no commission would have to be paid. The price Camp would have to charge on this special order to earn an additional profit of P40,000 is: P9.00 per unit P10.00 per unit P5.00 per unit P11.20 per unitC2 Company had sales of Php576,000 and variable costs of Php324,000.Fixed costs amount to Php96,000 from an expected production of 7,200units. If the company expects to increase its sales by 960 units byincurring an additional Php24,000 for advertising expense, what willhappen to profit?C2 Company had sales of Php576,000 and variable costs of Php324,000. Fixed costs amount to Php96,000 from an expected production of 7,200 units. If the company expects to increase its sales by 960 units by incurring an additional Php24,000 for advertising expense, what will happen to profit? Increase of Php9,600 Decrease of Php9,600 Increase of Php33,600 Decrease of Php33,600