Please help me with all answers thanku Tan-O-Rama is a local tanning salon. Its regression output is as follows:Coefficients4,562.243.23Suppose that the company charges $6.00 per tanning session.Required:1. Calculate the unit contribution margin2. Calculate contribution margin ratio.3. Calculate the total contribution margin if the shop books 1,050 tanning sessions this month.InterceptX Variable 1Complete this question by entering your answers in the tabs below.CM Ratio Total CMCalculate the total contribution margin if the shop books 1,050 tanning sessions this month.Note: Round your answers to 2 decimal places and "Total Contribution Margin" to the nearest whole dollar.Total Contribution MarginUnit CM Tan-O-Rama is a local tanning salon. Its regression output is as follows:Coefficients4,562.243.23Suppose that the company charges $6.00 per tanning session.Required:1. Calculate the unit contribution margin.2. Calculate contribution margin ratio.3. Calculate the total contribution margin if the shop books 1,050 tanning sessions this month.InterceptX Variable 1Complete this question by entering your answers in the tabs below.Unit CMCM RatioCalculate the unit contribution margin.Note: Round your final answer to 2 decimal places.Tan-O-Rama is a local tanning salon. Its regression output is as follows:InterceptX Variable 1Total CMUnit CMCoefficients4,562.243.23Suppose that the company charges $6.00 per tanning session.Required:1. Calculate the unit contribution margin.2. Calculate contribution margin ratio.3. Calculate the total contribution margin if the shop books 1,050 tanning sessions this month.CM RatioComplete this question by entering your answers in the tabs below.Unit Contribution MarginTotal CMCM Ratio >< Unit CMCalculate contribution margin ratio.Note: Round your answers to 2 decimal places and contribution margin ratio percentage to 2 decimal places (.e..1234 shouldbe entered as 12.34%.)Contribution Margin RatioTotal CM >

CONTRIBUTION MARGIN Contribution margin is the Difference between Sales & Variable Cost.…

Answered: Coefficients 4,562.24 3.23 Suppose that…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 2PB: A company manufactures and sells blades that are used in riding lawnmowers. The 18-inch blade sells...

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A company manufactures and sells racing bicycles to specialty retailers. The Bomber model sells for $450 and has per-unit variable costs of $200 associated with its production. The company has fixed expenses of $40,000 per month. In May, the company sold 225 of the Bomber model bikes. A. Calculate the contribution margin per unit for the Bomber. B. Calculate the contribution margin ratio of the Bomber. C. Prepare a contribution margin income statement for the month of May.
Method of Least Squares Refer to the information for Luisa Crimini on the previous page. Required: 1. Using a computer spreadsheet program such as Excel, run a regression on these data. Based on the regression output, write the cost formula for tanning. (Note: Round the fixed cost to the nearest dollar and the variable rate to the nearest cent.) 2. Using the formula computed in Requirement 1, what is the predicted cost of tanning services for September for 2,500 appointments? Use the following information for Exercises 3-44 through 3-46: Luisa Crimini has been operating a beauty shop in a college town for the past 10 years. Recently, Luisa rented space next to her shop and opened a tanning salon. She anticipated that the costs for the tanning service would primarily be fixed, but found that tanning salon costs increased with the number of appointments. Costs for this service over the past 8 months are as follows:
Keleher Industries manufactures pet doors and sells them directly to the consumer via their web site. The marketing manager believes that if the company invests in new software, they will increase their sales by 10%. The new software will increase fixed costs by $400 per month. Prepare a forecasted contribution margin income statement for Keleher Industries reflecting the new software cost and associated increase in sales. The previous annual statement is as follows:
A company manufactures and sells blades that are used in riding lawnmowers. The 18-inch blade sells for $15 and has per-unit variable costs of $4 associated with its production. The company has fixed expenses of $85,000 per month. In January, the company sold 12,000 of the 18-inch blades. A. Calculate the contribution margin per unit for the 18-inch blade. B. Calculate the contribution margin ratio of the 18-inch blade. C. Prepare a contribution margin income statement for the month of January.
Health-Temp Company is a placement agency for temporary nurses. It serves hospitals and clinics throughout the metropolitan area. Health-Temp Company believes it will place temporary nurses for a total of 23,500 hours next year. Health-Temp charges the hospitals and clinics 90 per hour and has variable costs of 75.60 per hour (this includes the payment to the nurse). Total fixed costs equal 321,000. Required: 1. Calculate the contribution margin per unit and 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 100,000. 4. What if Health-Temp had target operating income (profit) of 110,000? Would sales revenue be larger or smaller than the one calculated in Requirement 3? Why? By how much?
Jean and Tom Perritz own and manage Happy Home Helpers, Inc. (HHH), a house-cleaning service. Each cleaning (cleaning one house one time) takes a team of three house cleaners about 1.5 hours. On average, HHH completes about 15,000 cleanings per year. The following total costs are associated with the total cleanings: Required: 1. Calculate the prime cost per cleaning. 2. Calculate the conversion cost per cleaning. 3. Calculate the total variable cost per cleaning. 4. Calculate the total service cost per cleaning. 5. What if rent on the office that Jean and Tom use to run HHH increased by 1,500? Explain the impact on the following: a. Prime cost per cleaning b. Conversion cost per cleaning c. Total variable cost per cleaning d. Total service cost per cleaning
Refer to Cornerstone Exercise 3.4 for data on Dohini Manufacturing Companys purchasing cost and number of purchase orders. The controller for Dohini Manufacturing ran regression on the data, and the coefficients shown by the regression program are: Required: 1. Construct the cost formula for the purchasing activity showing the fixed cost and the variable rate. 2. If Dohini Manufacturing Company estimates that next month will have 430 purchase orders, what is the total estimated purchasing cost for that month? (Round your answer to the nearest dollar.) 3. What if Dohini Manufacturing wants to estimate purchasing cost for the coming year and expects 5,340 purchase orders? What will estimated total purchasing cost be? (Round your answer to the nearest dollar.) What is the total fixed purchasing cost? Why doesnt it equal the fixed cost calculated in Requirement 1?
A company sells mulch by the cubic yard. Grade A much sells for $150 per cubic yard and has variable costs of $65 per cubic yard. The company has fixed expenses of $15,000 per month. In August, the company sold 240 cubic yards of Grade A mulch. A. Calculate the contribution margin per unit for Grade A mulch. B. Calculate the contribution margin ratio of the Grade A mulch. C. Prepare a contribution margin income statement for the month of August.
More-Power Company has projected sales of 75,000 regular sanders and 30,000 mini-sanders for next year. The projected income statement is as follows: Required: 1. Set up the given income statement on a spreadsheet (e.g., ExcelTM). Then, substitute the following sales mixes, and calculate operating income. Be sure to print the results for each sales mix (a through d). 2. Calculate the break-even units for each product for each of the preceding sales mixes.
herri’s Tan-O-Rama is a local tanning salon. Its regression output is as follows: Coefficients Intercept 4,630.34 X Variable 1 2.33 Suppose that the company charges $7.20 per tanning session. Required: 1. Calculate the unit contribution margin.2. Calculate contribution margin ratio.3. Calculate the total contribution margin if the shop books 1,400 tanning sessions this month. Complete this question by entering your answers in the tabs below. Unit CM CM Ratio Total CM Calculate the unit contribution margin. (Round your final answer to 2 decimal places.) = Unit Contribution Margin Unit CM CM
Sherri’s Tan-O-Rama is a local tanning salon. Its regression output is as follows: Coefficients Intercept 4,630.34 X Variable 1 2.33 Suppose that the company charges $7.20 per tanning session. Required: 1. Calculate the unit contribution margin.2. Calculate contribution margin ratio.3. Calculate the total contribution margin if the shop books 1,400 tanning sessions this month.
Randy Company produces tennis rackets. If the fixed cost per racket is $15 when 24,400 rackets are produced, what is the fixed cost per racket when 30,500 rackets are produced? Sherri’s Tan-O-Rama is a local tanning salon. Its regression output is as follows: Coefficients Intercept 4,571.06 X Variable 1 3.35 Suppose that the company charges $9.00 per tanning session. Calculate the total contribution margin if the shop books 1,300 tanning sessions this month

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