How many units must be sold to achieve this goal? a.
Q: Reynold's Grocery has fixed costs of $346,000, the unit selling price is $27, and the unit variable…
A: Break even sales means that level of sales revenue at which busines is fully recovering its fixed…
Q: Reliable Manufacturing wants to sell a sufficient quantity of products to earn a profit of $100,000.…
A: The break-even point indicates that how many units the organization should sell to recover the cost…
Q: XYZ manufactures a computer stand. It has fixed costs of $600,000 and each stand sells for $90, with…
A: Formula: Contribution margin per unit = Sales price per unit - Variable cost per unit
Q: Homerun Corporation produces baseball bats for kids that it sells for $36 each. At capacity, the…
A: Operating income is a bookkeeping value that measures the profit determined from a business, by…
Q: FRT Company sells each unit for $ 60, variable costs for each unit $ 25, Fixed costs $ 200000 Wants…
A: Contribution means the difference between the selling price and variable cost . Fixed cost remain…
Q: Reliable Manufacturing wants to sell a sufficient quantity of products to earn a profit of $80,000.…
A: Break-even analysis is a technique widely used by the production department. It helps to determine…
Q: Playa Company mass produces inexpensive houses. Playa's fixed costs are $10,000 per house when 40…
A: Cost per House = Total CostNumber of Houses Computation of Variable Costs = 70% of Total Sales…
Q: The Muffin House produces and sells a variety of muffins. The selling price per dozen is $20,…
A:
Q: Tim Taylor has written a self improvement book that has the following cost characteristics: Selling…
A: Break even point = fixed cost/contribution per unit Where, Fixed cost = 98000+22800 = 120800…
Q: If a company's selling prices are $5, variable costs are $3 and fixed costs are $100,000, The number…
A: Break even point is the point of zero profits. Or we can say that it is the point where the…
Q: XYZ manufactures a computer stand. It has fixed costs of S600,000 and each stand sells for $90, with…
A: Selling price = $ 90 Variable cost = $ 48 Fixed cost = $600,000 Contribution per unit = Selling…
Q: Pepper Inc. produces lacrosse sticks. The selling price per stick is $42. Their variable cost per…
A: given that, Selling price per unit = $42 Variable cost per unit = $28 Fixed cost per unit = $12…
Q: Mullis Corporation manufactures DVDs that sell for $5.20. Fixed costs are $35,000 and variable costs…
A: The break-even point is the point at which a company is a neither profitable nor losing money. At…
Q: Juniper Enterprises sells handmade clocks. Its variable cost per clock is $6, and each clock sells…
A: Cost volume profit analysis is the technique used by the management for decision-making. These…
Q: 1. What is the contribution margin for one custom skin? Round your answer to the nearest cent. 2.…
A: Contribution = Sales - Variable cost Break even sales = Fixed cost/ Contribution per unit…
Q: Green Meadows makes three types portable coolers. The company's total fixed cost P1,080,000. Selling…
A: Break-even analysis is a technique widely used by the production department. It helps to determine…
Q: Please I need help with the letters D and E, A, B, and C that are already answered. Question 5…
A: d) July Month Income Statement Particulars Calculation Amount Sales value (1) 2,400,000…
Q: Chelonia Ltd manufactures small robot toys. It plans to introduce two products, Speedie and Spunkie.…
A: Step 1 Break even point formula is determined by dividing the total fixed costs associated with…
Q: A company is planning to manufacture computer desks. The fixed cost will be $60,000 and it will cost…
A:
Q: Polk Company developed the following information for its product: Sale price (per unit) Variable…
A: "Since you have posted a question with multiple sub parts, we will solve first three sub parts for…
Q: (a) Write down the equation for (i) total revenue, (ii) total costs, (iii) profit. (b) Calculate…
A: Under Marginal costing fixed cost remains constant and variable cost changes with the change in the…
Q: Total fixed cost of a product is IDR 10,000,000 and variable cost is IDR 50,000 per unit. The sale…
A: The Break-even point is at which the company earns no profit/loss. At this point companies…
Q: Cunningham, Inc. sells MP3 players for $60 each. Variable costs are $40 per unit, and fixed costs…
A: Unit contribution margin = Sales price per unit - variable cost per unit = $60 per unit - $40 per…
Q: Audrey sells a product for R8, 50. The variable cost are R5. Aubrey's break-even in units are 45000…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Company XYZ produces and sells wireless earphones. The selling price per unit is $5 and the total…
A: We know that break-even point is the point at which the entity does not make any profit or loss…
Q: How much can Tulip afford to spend on variable cost per unit if production and sales equal 46,000…
A: Variable cost is the total production cost that is affected by the change in the level of output.…
Q: Company XYZ produces and sells wireless earphones. The selling price per unit is $5 and the total…
A: Ans. Breakeven point is calculated by using the following formula :- Breakeven point = Fixed cost ÷…
Q: The Caplow Company, a chair manufacturing shop decides to use target profit pricing to establish a…
A: Target profit pricing is the setting up of a target price which can be computed by estimating the…
Q: Tiktok Company distributes a lightweight lawn chair that sell for P150 per unit. Variable costs are…
A: Here we are given selling price per unit, variable cost per unit and total fixed costs. We can use…
Q: Hawk Homes, Inc., makes one type of birdhouse that it sells for $30.00 each. Its variable cost is…
A: Disclaimer: Since you have put a multi-part question, we are providing you with the solutions to the…
Q: ABC company sells shoses for $450. The variable cost is $200 per unit. The fixed costs are $750000.…
A: Please find the answers to the above questions below:
Q: ABX Inc. manufactures and sells compact disks. Price and cost data are as follows: Selling price per…
A: Break-even point in dollars refer to that point at which the total sales related to the product…
Q: FRANCORP sells product ABC for $60. The variable production cost is $12, the fixed production cost…
A: Minimum price per unit = Total cost / total units
Q: Sammy Co. currently sells 1,000 units of product M for P2 each. Variable costs are P1.50. A discount…
A: Contribution from Special order=Units×Contribution per unit=400×P 1.70 - P 1.50=400× P 0.20=P 80
Q: Alex Miller, Inc., sells car batteries to service stations for an average of $30 each. The variable…
A: Break even point can be defined as the production level at which the manufacturing costs is equal to…
Q: XYZ company sells phones for P22, 500 per unit. The variable cost is P10, 000 per unit. The fixed…
A: The cost volume profit analysis is helpful to analyze the number of units required to be sold to…
Q: Steven and Son Inc. sells its car wash package for $180 per unit, its total variable costs per unit…
A: Break even point in units = Fixed cost/contribution margin per unit Whereas, Contribution margin…
Q: 1. Alex Miller, Inc., sells car batteries to service stations for an average of $30 each. The…
A: Breakeven units Fixed cost / contribution per unit Contribution per unit = Selling price -…
Q: A travel agency has a holiday package that sells for OMR 125. Fixed costs are OMR 80000; and at the…
A: Unit Variable cost = Total Variable cost / Number of customers Unit Contribution margin = Selling…
Q: Using the total cost method what price should Pinkin charge?
A: Fixed costs: Cost which is not affected by change in production Variable cost: Per unit Variable…
Q: Sunland Company sells two types of computer hard drives. The sales mix is 30% (Q-Drive) and 70%…
A: Break-even point: The break‐even point is that level of sales where the difference between the net…
Q: A Company wants to introduce new product. The estimated price of each mobile phone is RO 60. The…
A: Answer) Calculation of Target Cost Target Cost = Selling price – Profit margin…
Q: A company manufacturing laundry sinks has fixed costs of $100 per day but has total costs of $2,500…
A: Average cost is the total cost function divided by quantity produced. Maximum profit is calculated…
Q: NUBD Co. currently sells 1,000 units of product M for P2 each. Variable costs are P1.50. A discount…
A: Given information, sells 1,000 units of product M for P2 each Variable costs = P1.50 A discount…
Q: A company that sells radios has yearly fixed costs of $600,000. It costs the company $45 to produce…
A: Given that Cost function = C(x) = 600,000 + 45x Revenue function = R(x) = 65x
Q: Tiktok Company distributes a lightweight lawn chair that sell for P150 per unit. Variable costs are…
A: Number of additional units sold = Increase in sales/selling price
Step by step
Solved in 3 steps
- Jansen Crafters has the capacity to produce 50,000 oak shelves per year and is currently selling 44,000 shelves for $32 each. Cutrate Furniture approached Jansen about buying 1,200 shelves for bookcases it is building and is willing to pay $26 for each shelf. No packaging will be required for the bulk order. Jansen usually packages shelves for Home Depot at a price of $1.50 per shell. The $1.50 per-shelf cost is included in the unit variable cost of $27, with annual fixed costs of $320.000. However, the $130 packaging cost will not apply in this case. The fixed costs will be unaffected by the special order and the company has the capacity to accept the order. Based on this information, what would be the profit if Jansen accepts the special order? A. Profits will decrease by $1,200. B. Profits will increase by $31,200. C. Profits will increase by $600. D. Profits will increase by $7,200.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.Polaris Inc. manufactures two types of metal stampings for the automobile industry: door handles and trim kits. Fixed cost equals 146,000. Each door handle sells for 12 and has variable cost of 9; each trim kit sells for 8 and has variable cost of 5. Required: 1. What are the contribution margin per unit and the contribution margin ratio for door handles and for trim kits? 2. If Polaris sells 20,000 door handles and 40,000 trim kits, what is the operating income? 3. How many door handles and how many trim kits must be sold for Polaris to break even? 4. CONCEPTUAL CONNECTION Assume that Polaris has the opportunity to rearrange its plant to produce only trim kits. If this is done, fixed costs will decrease by 35,000, and 70,000 trim kits can be produced and sold. Is this a good idea? Explain.
- Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of $30. The companys monthly fixed expenses are $22,500. What is the companys break-even point in units? What is the companys break-even point in dollars? Construct a contribution margin income statement for the month of September when they will sell 900 units. How many units will Maple need to sell in order to reach a target profit of $45,000? What dollar sales will Maple need in order to reach a target profit of $45,000? Construct a contribution margin income statement for Maple that reflects $150,000 in sales volume.Schylar Pharmaceuticals, Inc., plans to sell 130,000 units of antibiotic at an average price of 22 each in the coming year. Total variable costs equal 1,086,800. Total fixed costs equal 8,000,000. (Round all ratios to four significant digits, and round all dollar amounts to the nearest dollar.) Required: 1. What is the contribution margin per unit? What is 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 245,000. 4. What if the average price per unit increased to 23.50? Recalculate: a. Contribution margin per unit b. Contribution margin ratio (rounded to four decimal places) c. Sales revenue needed to break even d. Sales revenue needed to achieve a target profit of 245,000Marlin Motors sells a single product with a selling price of $400 with variable costs per unit of $160. The companys monthly fixed expenses are $36,000. 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 November when they will sell 130 units. How many units will Marlin need to sell in order to realize a target profit of $48,000? What dollar sales will Marlin need to generate in order to realize a target profit of $48.000? Construct a contribution margin income statement for the month of February that reflects $200,000 in sales revenue for Marlin Motors.
- Shelby Industries has a capacity to produce 45.000 oak shelves per year and is currently selling 40,000 shelves for $32 each. Martin Hardwoods has approached Shelby about buying 1,200 shelves for a new project and is willing to pay $26 each. The shelves can be packaged in bulk; this saves Shelby $1.50 per shelf compared to the normal packaging cost. Shelves have a unit variable cost of $27 with fixed costs of $350,000. Because the shelves dont require packaging, the unit variable costs for the special order will drop from $27 per shelf to $25.50 per shelf. Shelby has enough idle capacity to accept the contract. What is the minimum price per shelf that Shelby should accept for this special order?Manatoah Manufacturing produces 3 models of window air conditioners: model 101, model 201, and model 301. The sales price and variable costs for these three models are as follows: The current product mix is 4:3:2. The three models share total fixed costs of $430,000. Calculate the sales price per composite unit. What is the contribution margin per composite unit? Calculate Manatoahs break-even point in both dollars and units. Using an income statement format, prove that this is the break-even point.If a company has fixed costs of $6.000 per month and their product that sells for $200 has a contribution margin ratio of 30%, how many units must they sell in order to break even? A. 100 B. 180 C. 200 D. 2,000
- Kerr Manufacturing sells a single product with a selling price of $600 with variable costs per unit of $360. The companys monthly fixed expenses are $72,000. 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 January when they will sell 500 units. How many units will Kerr need to sell in order to realize a target profit of $120,000? What dollar sales will Kerr need to generate in order to realize a target profit of $120,000? Construct a contribution margin income statement for the month of June that reflects $600,000 in sales revenue for Kerr Manufacturing.Reubens Deli currently makes rolls for deli sandwiches it produces. It uses 30,000 rolls annually in the production of deli sandwiches. The costs to make the rolls are: A potential supplier has offered to sell Reuben the rolls for $0.90 each. If the rolls are purchased, 30% of the fixed overhead could be avoided, If Reuben accepts the offer, what will the effect on profit be?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.
