The income statement for one of Manhattan Company's product shows:10,000Sales (100 units at Php 100 a unit)Cost of goods sold:Direct labor1,500Direct materials used1,400Variable factory overheadFixed factory overheadGross profitMarketing expenses:1,0005004,4005,600Variable600Fixed1,000Administrative expenses:Variable500Fixed1,0003,100Operating income2,500Required:1. Compute the break-even point in units.2. If sales increase by 25% how much will be the new operating income?3. Compute the new break-even point in pesos if fixed factory overhead will increase by Php 1,700.

Name: The income statement for one of Manhattan Company's product shows:10,
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Description: The income statement for one of Manhattan Company's product shows:10,000Sales (100 units at Php 100 a unit)Cost of goods sold:Direct labor1,500Direct materials used1,400Variable factory overheadFixed factory overheadGross profitMarketing expenses:1,

1 Break-even point in Units =Annual Fixed Cost/Contribution Margin per unit =Annual Fixed…

Answered: D0 a unit) 1,500 1,400 1,000 500 4,400…

Business

Accounting

D0 a unit) 1,500 1,400 1,000 500 4,400 600

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 14EA: Cool Pool has these costs associated with production of 20,000 units of accessory products: direct...

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