Elmwood Pinecone sells fake Christmas trees with a selling price of $75 and variable costs per unit of $30. The company’s monthly fixed expenses are $22,500. NOTE: You may want to use one of the EXCEL spreadsheets I provided in the module - Chapter03 CM Income Statement.xlsx downloador Chapter03 CM Income Statement BE.xlsx download - to help complete this problem. The following names are to be considered when completing this problem: Operating Income Variable Costs Sales Fixed Costs per Unit Selling Price per Unit Variable Cost per Unit Contribution Margin Fixed Costs Operating Loss What is the Elmwood’s break-even point in units? . Use commas as needed (i.e. 1,234). What is the Elmwood’s break-even point in dollars? . Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345). Using the names listed above, construct a contribution margin income statement for the month of November when they will sell 900 units
Elmwood Pinecone sells fake Christmas trees with a selling price of $75 and variable costs per unit of $30. The company’s monthly fixed expenses are $22,500. NOTE: You may want to use one of the EXCEL spreadsheets I provided in the module - Chapter03 CM Income Statement.xlsx downloador Chapter03 CM Income Statement BE.xlsx download - to help complete this problem. The following names are to be considered when completing this problem: Operating Income Variable Costs Sales Fixed Costs per Unit Selling Price per Unit Variable Cost per Unit Contribution Margin Fixed Costs Operating Loss What is the Elmwood’s break-even point in units? . Use commas as needed (i.e. 1,234). What is the Elmwood’s break-even point in dollars? . Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345). Using the names listed above, construct a contribution margin income statement for the month of November when they will sell 900 units
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 2PB: Mortech makes digital cameras for drones. Their basic digital camera uses $80 in variable costs and...
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Elmwood Pinecone sells fake Christmas trees with a selling price of $75 and variable costs per unit of $30. The company’s monthly fixed expenses are $22,500.
NOTE: You may want to use one of the EXCEL spreadsheets I provided in the module - Chapter03 CM Income Statement.xlsx downloador Chapter03 CM Income Statement BE.xlsx download - to help complete this problem.
The following names are to be considered when completing this problem:
Operating Income | Variable Costs |
Sales |
Fixed Costs per Unit | Selling Price per Unit |
Variable Cost per Unit |
Contribution Margin | Fixed Costs |
Operating Loss |
- What is the Elmwood’s break-even point in units? . Use commas as needed (i.e. 1,234).
- What is the Elmwood’s break-even point in dollars? . Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345).
- Using the names listed above, construct a contribution margin income statement for the month of November when they will sell 900 units. Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345).
Elmwood Pinecone | |
Contribution Margin Income Statement | |
For the Month of November | |
- How many trees will Elmwood need to sell in order to realize a target profit of $45,000? . Use commas as needed (i.e. 1,234).
- What dollar sales will Elmwood need to generate in order to realize a target profit of $45,000? . Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345).
- Construct a contribution margin income statement for the month of December that reflects $150,000 in sales revenue for Elmwood. Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345).
Elmwood Pinecone Contribution Margin Income Statement For the Month of December
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