Maple Enterprises sells a single product with a selling price of $80 and variable costs per unit of $32. The company's monthly fixed expenses are $28,800. A. What is the company's break-even point in units? Break-even units fill in the blank 48108800dffc040_1 units B. What is the company's break-even point in dollars?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 5EA: Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of...
icon
Related questions
Question

Maple Enterprises sells a single product with a selling price of $80 and variable costs per unit of $32. The company's monthly fixed expenses are $28,800.

A. What is the company's break-even point in units?

Break-even units fill in the blank 48108800dffc040_1 units

B. What is the company's break-even point in dollars?

Break-even dollars $fill in the blank 48108800dffc040_2

C. Construct a contribution margin income statement for the month of September when they will sell 800 units. Use a minus sign for a net loss if present.

 
 
Income Statement
  $fill in the blank 74e529089f92058_2
  fill in the blank 74e529089f92058_4
  $fill in the blank 74e529089f92058_6
  fill in the blank 74e529089f92058_8
  $fill in the blank 74e529089f92058_10

D. How many units will Maple need to sell in order to reach a target profit of $48,000?

New break-even units fill in the blank 946f62fa600f077_1 units

E. What dollar sales will Maple need in order to reach a target profit of $48,000?

New break-even dollars $fill in the blank 946f62fa600f077_2

F. Construct a contribution margin income statement for Maple that reflects $168,000 in sales volume.

 
 
Income Statement
  $fill in the blank 7a73b6ff6019fdf_2
  fill in the blank 7a73b6ff6019fdf_4
  $fill in the blank 7a73b6ff6019fdf_6
  fill in the blank 7a73b6ff6019fdf_8
  $fill in the blank 7a73b6ff6019fdf_10
Expert Solution
trending now

Trending now

This is a popular solution!

video

Learn your way

Includes step-by-step video

steps

Step by step

Solved in 4 steps

Blurred answer
Knowledge Booster
Cost Sheet
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub