What is the break-even point in sales units? (see attached)
Q: Break-Even Sales and Cost-Volume- Cor noin
A:
Q: How does the sales mix affect the calculation of the break-even point?
A: Meaning of sales mix When a company sells two or more products, then the concept of sales mix…
Q: Explain what a sales mix is and how changes in the sales mix affect the break-even point.
A: A sales mix is ratio that shows various products and services which compose the entire sales volume.…
Q: Prepare an analysis of the sales quantity and unit price factors did the price decrease generate…
A: Sales quantity factor = (Actual Quantity - planned Quantity) * Planned Sales Price Sales quantity…
Q: Calculate: a) The break-even level of production and sales b) The margin of safety
A: Given in the question: Per Desk Amount Direct Materials €3.00 Direct Labour…
Q: When a company sells multiple products, the breakeven point in sales dollars is computed by:
A: Break-even point:Break-even point is the point at which the total costs is equal to the total sales.…
Q: Sales commissions incurred based on units of product sold during a given period is an example of a…
A: The product costs are the cost that are incurred to produce a product directly or indirectly.
Q: What is the effect of an increase in variable costs as a percentage of sales onthe contribution…
A: Variable cost refers to the cost which varies according to the volume of produced units. Increase in…
Q: How might a company simplify its use of the NRV method when final selling prices can vary sizably in…
A: Net Realizable Value (NRV) Method: NRV method is a method of joint cost allocation which takes into…
Q: 1. How does a company use break even point and sales mix to determine how many units of each product…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Which of the following would not affect the break-even point? number of units sold…
A: Break Even Point - Break even point is the point where company has no profit no loss situation.…
Q: Briefly explain the impact of each of the following scenarios on the break-even point and the margin…
A:
Q: (a) Calculate and determine the break-even points (in sales dollars and units) for each product…
A: In Marginal Costing we calculate contributionmargin by deducting…
Q: how would an increase in selling price per unit affect the break-even point and the margin of…
A: Break even point is the point where the entity is earning no profit and loss. Its contribution does…
Q: ) Briefly explain the impact of each of the following scenarios on the break-even point and the…
A: Break even point is the point of sales where business earns no profit no loss.
Q: Which of the following formulas is used to calculate break-even point in units? a.Break-even point…
A: Selling price per unit: It is the price at which a unit of product is sold in the market. Variable…
Q: Sales commissions incurred based on units of product sold during a given period is an example of a…
A: Please check the step 2
Q: g) Briefly explain the impact of each of the following scenarios on the break-even point and the…
A: Margin of Safety(Amount) : Total Revenue-Breakeven point Margin of Safety(Units) : Current Sales…
Q: Is there any way to show high net operating income without increasing sales under the absorption…
A: A method of costing that involves consideration of all the manufacturing costs for calculation of…
Q: How would an increase in sales volume affect the break-even point and the margin of safety
A: Break-Even point :- The break-even point is that the point wherever a company’s revenues equals its…
Q: in a cost volume profit analysis explain what happen at the break even point and why company do not…
A: Cost volume profit analysis: It is a technique that analyses the effect of cost and volume on…
Q: What is the break-even sales increase? Interpret.
A: The company would be defining the sales after considering the estimated revenues. All those revenues…
Q: a. What is the company's break-even point in unit sales? Break even point units b. Is it above or…
A: Break even sales is the sales level at which an entity is able to recover all its costs that is the…
Q: In the cost-volume-profit analysis, income taxes a.increase the sales volume required to break even.…
A: Cost-volume-profit analysis is used inorder to analyse the relation between profits of the entity…
Q: Explain how a shift in the sales mix could result in both a higher break-even point and a lower net…
A: Sales mix involves the composition of different products and some products have a higher margin of…
Q: g) Briefly explain the impact of each of the following scenarios on the break-even point and the…
A: Margin of safety: The excess of actual sales over the break-even sales is known as margin of safety.…
Q: What is the Break-Even sales (in units) given the following data:
A: Break-Even point (units) = Fixed Costs ÷ (Sales price per unit – Variable costs per unit)…
Q: If a company returns an item to a supplier, the supplier will record the return as: shrinkage. O a…
A: The item purchased by the company from the supplier is Purchase for the company and Sales for the…
Q: Why is it common to assume a fixed sales mix before finding the break even volume with multiple…
A: Break-even analysis is the easiest form of cost-volume-profit analysis. Break-even analysis is used…
Q: Compute the break-even point in sales dollars for the company as a whole and the margin of safety in…
A: Break-even point refers to a point at which the company earns neither profit nor deficit. If the…
Q: The dollar sales required for the company to break even is closest to:
A:
Q: What is an aging schedule? What can be learned from it? How is itaffected by sales fluctuations?
A: Aging schedule is a statement which shows the time taken to recover their receivable and for…
Q: Would an increase in per-unit selling price cause a company’s break-even point to increase or…
A: The breakeven point (break-even price) for a trade or investment is determined by comparing an…
Q: How does targeted profit enter into the break-even units equation?
A: Every organisation desires to attain certain target profit. Therefore the organisation makes an…
Q: Once a company exceeds its breakeven level, operating income can be calculated by multiplying: a.…
A: Break-Even Point: It is the point of sales at which entity neither earns a profit nor suffers a…
Q: A company's break-even point will not be changed by:
A: Break-even point i Break-even point is a level of activity where no profit is gained and no loss…
Q: What keeps plotted revenue data from falling on a straight line in a break-even analysis?
A: Revenue data do not fall on a straight line when plotted in a graph in a break-even analysis because…
Q: In cost-volume-profit analysis, what is the estimated profit at the break-even point?
A: Cost volume profit analysis is useful to find out the different sales volume on the basis of…
Q: Based on the facts of Easy Problems Corp. The margin of safety ratio (MSR) and the break-even sales…
A: Solution Given Selling price per unit 25 Less Variable cost per unit (15)…
Q: In a cost-volume-profit analysis, explain what happens at the break-even point and why companies do…
A: Break-even point: It is that point in the business when all its costs have been recovered.…
Q: Help4
A: Break-even point for a business is that position for a business where the difference between the…
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: Which one of the following is not considered an assumption of cost-volume-profit analysis? a. Costs…
A: Option b is correct.
What is the break-even point in sales units? (see attached)
Given:
Concept:
The ratio of the fixed cost and the subtraction of the variable cost with the unit price of the production is called a break-even point.
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- 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.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.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.
- A company produces two products. E and F in batches of 100 units. The production and cost data are: The company can only perform 12,000 set-ups each period yet there is unlimited demand for each product. What is the differential profit from producing product E instead of product F for the year? A. $216,000 B. $204,000 C. $12,000 D. $54,000Kerr 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.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?
- 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?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?Abilene Industries manufactures and sells three products (XX, W, and ZZ). The sales price and unit variable cost for the three products are as follows: Their sales mix is reflected as a ratio of 4:2:1. Annual fixed costs shared by the three products are $345.000 per year. What are total variable costs for Abilene with their current product mix? Calculate the number of units of each product that will need to be sold in order for Abilene to break even. What is their break-even point in sales dollars? Using an income statement format, prove that this is the break-even point.
- Garrett Company provided the following information: Common fixed cost totaled 46,000. Garrett allocates common fixed cost to Product 1 and Product 2 on the basis of sales. If Product 2 is dropped, which of the following is true? a. Sales will increase by 300,000. b. Overall operating income will increase by 2,600. c. Overall operating income will decrease by 25,000. d. Overall operating income will not change. e. Common fixed cost will decrease by 27,600.A company has prepared the following statistics regarding its production and sales at different capacity levels. Total costs: 1. At what point is break-even reached in sales dollars? In units? (Hint: Use the capacity level to determine the number of units.) 2. If the company is operating at 60% capacity, should it accept an offer from a customer to buy 10,000 units at 3 per unit?The sales price per unit is 13 for the Voyageur Companys only product. The variable cost per unit is 5. In 2016, the company sold 80,000 units, which was 10,000 units above the break-even point. Compute the following: 1. Total fixed expenses. (Hint: First compute the contribution margin per unit.) 2. Total variable expense at the break-even volume.