The sales manager believes that a reduction in the sales price to OMR 20 will result in orders for 200 more units each year.  calculate the profit if the company accept this proposal

Q: Lucid Images Ltd manufactures premium high definition televisions. The firm’s fixed costs are…

A: In this numerical has covered the concept of Cost Volume Profit Analysis.

Q: Gelbart Company manufactures gas grills. Fixed costs amount to $16,335,000 per year. Variablecosts…

A: The break-even point seems to be the output level where the total revenues equals total costs. In…

Q: Lindon Company is the exclusive distributor for an automotive product that sells for $40.00 per unit…

A: Contribution Margin Ratio = Contribution / Sales 0.3= Contribution /  $ 40  Contribution per unit =$…

Q: a) Calculate the break-even point in units.  b) What will the new break-even point be if fixed costs…

A: Break-Even Point: It is the point of sales at which entity neither earns a profit nor suffers a…

Q: Lucid images ltd manufactures premium high definition television. The firm's fixed costs are…

A:

Q: X Ltd. has annual sales of 10,000 units at $300 per unit. The annual fixed costs amount to $300,000.…

A: Existing Proposed  Total cost other than bad debts 2,300,000 2,400,000 2,960,000 Collection…

Q: b) Ceria Company plans to sell 5,000 bicycle helmets at RM75 each in the coming year. Variable cost…

A: Break even point in sales = Total Fixed costs / Contribution margin ratio = RM49500/40% = RM123,750

Q: Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $20 per unit.…

A: NOTE- Since you have posted a question with multiple sub-parts, we will solve the sub-parts asked by…

Q: . Fong Company introduced a new product last year for which it is trying to find an optimal selling…

A: We will take the units to be increased by 5000 units and we will reduce the selling price by $2 for…

Q: Steven and Son Inc. sells its car wash package for $180 per unit, its total variable costs per unit…

A: Cost volume profit analysis is the technique used by the management for decision-making. The methods…

Q: product currently sells for $12 per unit. The variable costs are $4 per unit, and 10,000 units are…

A: At break even  contribution is equal to  fixed cost

Q: Lucid Images Ltd manufactures premium high definition televisions. The firm’s fixed costs are…

A: Break even point in units = Fixed costs / Contribution margin per unit Where, Contribution margin…

Q: Management at the Flagstaff Company currently sells its products for $250 per unit and is…

A: Variable cost per unit = current sales price x 30% = $250 x 30% = $75 per unit Budgeted sales price…

Q: Lucid Images Ltd manufactures premium high definition televisions. The firm’s fixed costs are…

A: Break-Even Point: It is the point of sales at which entity neither earns a profit nor suffers a…

Q: Fixed selling costs are $500,000 per year. Variable selling costs of $2 per unit sold are added to…

A: For the special order of 50,000 units, $2 of variable selling expenses will not be incurred because…

Q: total contribution margin

A: We know that as per Marginal Costing  Contribution Margin = Sales Revenue - Total Variable Cost  It…

Q: Lucid Images Ltd manufactures premium high definition televisions. The firm’s fixed costs are…

A: Break even point in units = Fixed costs / Contribution margin per unit Where, Contribution margin…

Q: Lucid Images Ltd manufactures premium high definition televisions. The firm’s fixed costs are…

A: Break-even point in units = (Fixed costs / Contribution margin per unit) Where, Contribution margin…

Q: Al-Naseem Company fixed costs are OMR 120,000 per year. The variable cost of each unit is OMR 6, and…

A: Cost accounting is the process of recording all the costs related to the production of a good. Cost…

Q: Minden Company introduced a new product last year for which it is trying to find an optimal selling…

A: The net profits are calculated as excess of sales revenue over total of fixed cost and variable…

Q: ) Samara Company is the exclusive distributor for a revolutionary bookbag. The product sells for $60…

A: SOLUTION- 1- CALCULATION OF CONTRIBUTION MARGIN PER UNIT- The contribution margin is the difference…

Q: Lindon Company is the exclusive distributor for an automotive product that sells for $40 per unit…

A: As the question has more than 3 sub-parts, the first 3 subparts are answered. If you want the answer…

Q: Lucid Images Ltd manufactures premium high definition televisions. The firm’s fixed costs are…

A: Break even point in units = Fixed costs / Contribution margin per unit Where,…

Q: L. Boyd Company's total fixed costs are $130,000 per year. The company's break-even point in sales…

A: The break even sales are the sales where business earns no profit no loss during the period.

Q: Glassman Company sells its one product at $30 per unit. Variable costs are $25 per unit and fixed…

A: Break-even point in units = Fixed costs / (Selling price - Variable costs) Break-even point in sales…

Q: Lindon Company is the exclusive distributor for an automotive product that sells for $40 per unit…

A: Old variable expense per unit = $40 x 70% = $28

Q: The Warner Company sells its only product for P30 and the variable costs amount to P21 per unit.…

A: Margin of safety is a sales over a break even point. It is computed using the below formula.  Margin…

Q: he company sales price is $35 per unit. The variable cost of production bowties is $21 per unit. The…

A: To earn desired level of profit, which the firm intends to earn should have to be combined with the…

Q: Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $20 per unit.…

A: Solution..     Selling price per unit = $20. Variable cost per unit = $8  Fixed costs = $180,000 per…

Q: Outrigger Leisure Products sells 2,000 kayaks per year at a price of $450 per unit. Outrigger sells…

A: A variable cost is one that varies according to the amount of production or the quantity of services…

Q: The fixed costs of Anton, Inc. are $354,000 and the total variable costs for its only product are…

A: Calculation of monthly income: Sales (5700 x $140) 798,000 Less: Variable Costs (45% of $140 x…

Q: A firm has fixed costs of P200,000 and variable costs per unit of P6. It plans on selling 40,000…

A: Target profit before tax = P24,000/(100%-40%) Target profit before tax = P24,000/60% Target profit…

Q: Naylor Company produces a product that has a variable cost of Rs. 13 per unit; the product sells for…

A: Net Income  = Sales-variable cost - fixed  cost Number of units to be sold  = Sales required /…

Q: Gelbart Company manufactures gas grills. Fixed costs amount to $20,688,000 per year. Variable costs…

A: Contribution per unit = Selling price per unit - Variable cost per unit Break-even point ( in units…

Q: Tiktok Company distributes a lightweight lawn chair that sell for P150 per unit. Variable costs are…

A: Here the first step is determine the existing level of profits. Once this is done then we will have…

Q: First Class Corp. has sales of $200,000, a contribution margin of 20% and a margin of safety of…

A: The expression margin of safety is often used in break-even analysis to describe the sum of profits…

Q: Lindon Company is the exclusive distributor for an automotive product that sells for $50.00 per unit…

A: Calculation of Variable expenses per unit Variable expenses per unit = Selling price per unit X…

Q: Eureka Corp. produces and sells a single product. Data concerning that product appear below: Per…

A: A decision of continuing a plan or discounting a plan should be taken after considering the net…

Q: Lucid Images Ltd manufactures premium high definition televisions. The firm's fixed costs are…

A: a. Break Even point = Fixed costs / Contribution margin per unit Contribution margin per unit =…

Q: Lindon Company is the exclusive distributor for an automotive product that sells for $52.00 per unit…

A: As posted multiple independent questions we are answering only single question kindly repost the…

Q: Treat each of the requirements as independent situations: a) Calculate the break-even point in…

A:

Q: Sooner Industries charges a price of $88 and has fixed cost of $301,000. Next year, Sooner expects…

A: Net operating income = Contribution margin - Fixed costs Contribution margin = Net operating income…

Q: company produces and sells product with the following characteristics: Per Unit ng price ble…

A: Net income = contribution - fixed cost

Q: An organization's break-even point is 6,000 units at a sales price of P50 per unit, variable cost of…

A: Break even point = Fixed costs /Contribution margin per unit  where, Contribution margin per unit =…