Given SP as selling Price per unit; FC for Total fixed cost an expenses; and VC for Variable cost and expenses per unit, which of the following will result to break even sales volume in units? * O SP / (FC/VC) O FC / (VC/SP) O vc/ (SP-FE) O FC / (SP-VC) O None of the above
Q: Briefly explain the impact of each of the following scenarios on the contribution margin per unit…
A: Formula: Contribution margin per unit = Selling price per unit – Variable cost per unit.…
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A: Option E is the correct answer i.e Cost can be Divided into variable and fixed components.
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Q: All else being equal, what happens to the unit contribution margin and the contribution margin ratio…
A: Contribution Margin = Sales per unit - Variable cost per unit
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A: The break even sales units are the sales where business earns no profit no loss.
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A: Variable cost ratio = Variable cost per unit / Selling price per unit
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A: Answer
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A: Contribution margin is the margin of profits of any enterprise which is essentially a function of…
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A: Break even point in units = Fixed costs / (Selling price per unit - Variable cost per unit)
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A: Hi student SInce there are multiple questions, we will answer only first question. Since first…
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Q: what is the breakeven sales level in units?
A: Answer: Option D.
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A: Contribution is the amount obtained after deducting the variable costs from the sales.
Q: On the cost-volume-profit graph, which of the following would result into an increase in the…
A: The Break-even point is the point where all the sales generated by the company are equal to the cost…
Q: :Holding other factors constant, a company's contribution margin per unit will increase with All…
A:
Q: The break-even point can be calculated with the following formula: Total fixed expenses / (Variable…
A: Break-even point = Total fixed expenses / (Selling price per unit - Variable cost per unit)
Q: Which of the following is true regarding the contribution margin ratio of a company that produces…
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Q: Help4
A: Break-even point for a business is that position for a business where the difference between the…
Q: All else being equal, what happens to the unit contribution margin and the contribution margin ratio…
A: Contribution margin is calculated as Sales less variable costs. Sale price is the price at which the…
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Q: Which one of the following is not considered an assumption of cost-volume-profit analysis? a. Costs…
A: Option b is correct.
Q: Which of the following would not affect the breakeven point? O a. A change in variable cost per unit…
A: Break even point can be referred to as a sales level at which the firm is just able to recover all…
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- Given the following notations, what is the breakeven sales level in units? SP =selling price per unit FC = total fixed cost VC = variable cost per unit A. SP / (FC/VC)B. FC/(VC/SP)C. VC/(SP – FC)D. FC/(SP – VC)Which of the following statements about CVP analysis is true? O a. Unit selling price, unit variable costs, and total fixed costs are known and remain constant . b. All of the given answers are false. O . Operating income calculations in CVP analysis are based on gross margin. O d The CVP analysis assumes that total variable costs remain the same over a relevant range .On the costvolume - profit graph which of the following would result into a decrease in the breakeven point (Assuming other factors remain unchanged )? a. Decrease in number of units sold b.Decrease in selling price per unit c. Increase in fixed costs d. Decrease in variable cost per unit e. None of the given answers
- The break-even point can be calculated with the following formula: Total fixed expenses / (Variable cost per unit Selling price per unit)TRUEFALSEIf XYZ Company sells unit outputs that exceed the breakeven point, a. there will be an increase in total fixed costs b. total sales revenue will exceed total variable costs total sales revenue will exceed total fixed costs dthere will be a profit e None of the given answersThe conventional CVP (Cost-volume and profit) analysis has some underlying assumptions regarding costs and selling price. Which one of the following is NOT one of those assumptions: a. The selling price per unit will remain unchanged. b. Fixed costs per unit will decrease. c. The costs can be expressed as straight lines in a BEP (Break-even-point) graph. d. The actual variable costs per unit vary over the production range.
- g) Briefly explain the impact of each of the following scenarios on the contribution margin per unit and thebreak-even point:(i) Sales volume increases(ii) Total fixed cost decreases(iii) Selling price per unit increases(iv) Variable cost per unit increasesIf Q equals the level of output, P is the selling price per unit, V is the variable cost per unit, and F is the fixed cost, then the break-even point in units is: a Q ÷ (P − V). b F ÷ (P − V). c V ÷ (P − V). d F ÷ [Q(P − V)].Which of the following is true of the contribution margin ratio? a.If the contribution margin ratio increases, the price must have decreased. b.If the contribution margin ratio increases, the variable cost ratio decreases. c.It is the proportion of each sales dollar available to cover variable costs. d.If the contribution margin ratio increases, more units must be sold to break even. e.It is complementary to the net profit ratio.
- On the CVP graph, the next unit sold will increase total cost by an amnount equal to the Select one: O a Difference between contribution margin and fixed costs b.Selling price per unit minus the variable costs per unit c Variable costs per unit d. Contribution margin ratio e Selling price per unitWhich of the following is not an assumption underlying cost-volume-profit analysis?a. The sales mix is constant.b. The break-even point will be passed during the period.c. Total sales and total costs can be represented by straight lines.d. Costs can be accurately divided into fixed and variable components.g) Briefly explain the impact of each of the following scenarios on the contribution margin per unit and the break-even point:(i) Sales volume increases(ii) Total fixed cost decreases(iii) Selling price per unit increases(iv) Variable cost per unit increases