The break-even point is $
Q: True or false: The breakeven point in dollars can be computed by dividing the contribution margin…
A: Solution Concept Breakeven point is the point at which the contribution generated covers the fixed…
Q: The break-even point in units using the weighted-average contribution margin is:
A: 1. Both the Questions are same. 2. Break Even Point is the situation where a business earns no…
Q: When the contribution margin per unit increases assuming all other factors remain constant. The…
A: Contribution margin per unit : The contribution margin is defined as the amount of which the sales…
Q: When sales price increases and all other variables are held constant, the break-even point will _
A: Breakeven point means point of sales at which business is covering its fixed costs and variable…
Q: :The breakeven point increases if
A: It is pertinent to note that Break even point is the point where the entity does not make any profit…
Q: Break-even value using the contribution margin ratio
A: (Since you have posted a multi-part question, we will solve the first three parts for you. For the…
Q: true or false, An increase in total fixed costs lowers the break-even point.
A: Formula: Break even point = Fixed costs / Contribution margin per unit. Contribution margin per unit…
Q: Explain multiproduct break even analysis. What is the assumption on proportions among the quantities…
A: Multi-product break even analysis means that the determination of the break even point of…
Q: When variable costs increase and all other variables remain unchanged, the break-even point will:…
A: Variable Cost refers to those Cost which are Variable on nature that means they are changed with the…
Q: What is the break-even point in unit sales?
A: Break-Even Point: It is the point of sales at which entity neither earns a profit nor suffers a…
Q: when the contribution margin ratio increases
A: Option A is wrong because break-even point decreases when the contribution margin ratio increases.…
Q: The break-even point is where total sales equal total variable costs. True B) False
A: Break-even point is the point at which company’s revenues which are earned during the year are equal…
Q: Requir ed: a. Break-even point in amount b. Rate of Margin of Safety
A: Formula: BEP (In Volume)= Fixed CostContribution×Sales Rate of Margin of safety= (Current Sales-…
Q: What is the difference between an accounting break-even and a break-even NPV? Which will offer the…
A:
Q: If the variable cost per unit goes down, Contribution margin Break-even point a. increases…
A:
Q: Products Breakeven Product A Product B
A: Break-even point: The Break-even point is the level of activity where there is no profit or loss…
Q: break-even point
A: [Note: Since you have posted a multi-part question, we will solve the first three parts for you. For…
Q: if the number of units decreases, fixed cost per unit decreases
A: This question is considered as true or false. Fixed Cost: It is a cost which is constant in the…
Q: The break-even point occurs when total contribution margin is less than total fixed costs. O Ture O…
A: Cost-volume-profit (CVP) analysis is used to determine how changes in costs and volume affect a…
Q: 1. The most likely strategy to reduce the break-even point would be to a. Increase both the fixed…
A: A Break-even point is a point at which a company is able to cover all its expenses with the present…
Q: Discuss the advantages of break-even time over the payback period. List two conditions under which…
A:
Q: The break-even point is that level of activity where: Select one: O a. profit equals to zero. O b.…
A: Break-Even Point: It is the point of sales at which entity neither earns a profit nor suffers a…
Q: The most likely strategy to reduce the breakeven point would be to fixed costs and contribution…
A: Break-even point is computed to ascertain the revenue/sale units required, for absorption of all the…
Q: How do I calculate the break even point per unit?
A: Break Even Point: Break Even Point is defined as the level where there is no profit…
Q: = breakeven point in
A: Definition: Break even point: A point at which fixed and variable expenses equals revenue. It is…
Q: break even?
A: We know that Break even point is the point where the entity does not make any profit or loss That…
Q: No, the present value of the machine is less than the cost by over
A: Cost of machine =$114000 Period =10 years Annual income =$12000 interest rate=1.6% compounding…
Q: What is the difference between an accounting break-even and a break-even NPV? Which will offer the…
A: Break-even point = Total Fixed Costs / Contribution margin per unit Break-even ratio = Annually…
Q: What will be the revenue generated at the break-even point?
A: Break even point is a point wherein the firm does not earn any profit nor incurs any loss.
Q: The breakeven point decreases it. O the variable cost per unit increases O the total fixed costs…
A: Break-even Point The Break-even point refers to the point of no gain or loss for the business. In…
Q: If Q equals the level of output, P is the selling price per unit, V is the variable cost per unit,…
A: Selling price: Selling price is a price set by the supplier at which he is ready to sell his goods…
Q: As the variable cost increases but the selling price remains constant, the A. Degree of operating…
A: Break-even analysis is a technique used widely by the production management. It helps to determine…
Q: break-even number of subscribers
A: Fixed costs Amount in $ Server lease costs per year 100000000 Content cost per year 2000000000…
Q: The materials price variance can be computed at what two different points in time? Which point is…
A:
Q: The break-even point is that level of activity where:
A:
Q: If expected level of EBIT is more than the breakeven point, then the EPS will be –
A: EBIT (Earnings before interest and tax): It is a profitability indicator for the business. The other…
Q: ow do you find the break even point? without knowing the contribution margin per unit
A: Break-even point means the sale condition where no profit no loss incurred. Break-even point is…
Q: break-even point"
A: Break-even point = Fixed costs/(Selling price per unit - Variable cost per unit)
Q: Holding all other factors constant, the break-even point will be decreased by increasing the fixed…
A: The correct answer is Option C.
Q: When sales price decrease and all other variables are held constant the break even point will
A: Break-even point analysis is an important and crucial technique used by cost and management…
Q: Break Even Point
A: Break Even Point = Fixed Cost/Contribution per unit
Q: An ideal standard Is the quantity of direct materlal required f a process is 100% efficient without…
A: Introduction:- ideal standard costs are termed as perfect or 100% performance without fail. which…
Q: •The most likely strategy to reduce the break-even point should be to 1. Increase fixed costs 2.…
A: Note: Since you have posted multiple questions, we will solve the first question for you. To get the…
Q: 2. Break-even analysis assumes that over the relevant range a. Unit revenues are nonlinear. b. Unit…
A:
Q: what will be the company's break-even point in units?
A: Break-even point in units is the number of units at which there is no…
Q: break even income
A: Break even income means the income which is equal to expenses, i.e., there is no profit or loss.
Q: When variable costs increase and all other variables remain unchanged, the break-even point will: a.…
A: Break even point is that point at which business is recovering its fixed costs and variable costs.…
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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- Marlin 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.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 245,000Kerr 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.
- 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.Faldo Company produces a single product. The projected income statement for the coming year, based on sales of 200,000 units, is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. Suppose that 30,000 units are sold above the break-even point. What is the profit? 2. Compute the contribution margin ratio and the break-even point in dollars. Suppose that revenues are 200,000 greater than expected. What would the total profit be? 3. Compute the margin of safety in sales revenue. 4. Compute the operating leverage. Compute the new profit level if sales are 20 percent higher than expected. 5. How many units must be sold to earn a profit equal to 10 percent of sales? 6. Assume the income tax rate is 40 percent. How many units must be sold to earn an after-tax profit of 180,000?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
- 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.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.Klamath Company produces a single product. The projected income statement for the coming year is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. 2. Suppose 10,000 units are sold above break-even. What is the operating income? 3. Compute the contribution margin ratio. Use the contribution margin ratio to compute the break-even point in sales revenue. (Note: Round the contribution margin ratio to four decimal places, and round the sales revenue to the nearest dollar.) Suppose that revenues are 200,000 more than expected for the coming year. What would the total operating income be?
- Margin of safety Jorgensen Company has sales of 380,000,000, and the break-even point in sales dollars is 323,000,000. Determine Jorgensen Companys margin of safety as a percent of current sales.Gelbart Company manufactures gas grills. Fixed costs amount to 16,335,000 per year. Variable costs per gas grill are 225, and the average price per gas grill is 600. Required: 1. How many gas grills must Gelbart Company sell to break even? 2. If Gelbart Company sells 46,775 gas grills in a year, what is the operating income? 3. If Gelbart Companys variable costs increase to 240 per grill while the price and fixed costs remain unchanged, what is the new break-even point?A firm is selling two products, chairs and bar stools, each at $50 per unit. Chairs have a variable cost of $25, and bar stools $20. Fixed cost for the firm is $20,000. a. If the sales mix is 1:1 (one chair sold for every bar stool sold), what is the break-even point in dollars of sales? In units of chairs and bar stools? b. If the sales mix changes to 1:4 (one chair sold for every four bar stools sold), what is the break-even point in dollars of sales? In units of chairs and bar stools?