P1 P2 P3 Revenues $ 260,000 $ 360,000 $ 360,000 Variable costs 56,000 215,000 140,600 Fixed...
| P1 | P2 | P3 | |||||||
| Revenues | $ | 260,000 | $ | 360,000 | $ | 360,000 | |||
| Variable costs | 56,000 | 215,000 | 140,600 | ||||||
Fixed costs total $360,000. What sales volume would generate an
operating profit of $230,000? (Assume the current product mix.)
$1,210,000.
$1,154,000.
$1,017,241.
$1,570,000.
Homework Answers
| P1 | P2 | P3 | Total | |
| Revenues | 260000 | 360000 | 360000 | 980000 |
| Less: Variable costs | 56000 | 215000 | 140600 | 411600 |
| Contribution margin | 204000 | 145000 | 219400 | 568400 |
| Contribution margin ratio | 78.46% | 40.28% | 60.94% | 58.00% |
| Fixed costs | 360000 | |||
| Add: Operating profit | 230000 | |||
| Required Contribution margin | 590000 | |||
| Divide by Total Contribution margin ratio | 58% | |||
| Required sales volume | 1017241 | |||
| Option C $1,017,241 is correct |
Add Answer to:
P1
P2
P3
Revenues
$
260,000
$
360,000
$
360,000
Variable costs
56,000
215,000
140,600
Fixed...
Eastwick produces and sells three products. Last month's results are as follows: P1 P2 P3 Revenues...
Eastwick produces and sells three products. Last month's results are as follows: P1 P2 P3 Revenues $ 300,000 $ 400,000 $ 400,000 Variable costs 60,000 250,000 141,000 Fixed costs total $400,000. What sales volume would generate an operating profit of $250,000? (Assume the current product mix.) $1,350,000. $1,290,000. $1,101,695. $1,750,000.
With Password Saved Help Eastwick produces and sells three products. Last month's results are as follows:...
With Password Saved Help Eastwick produces and sells three products. Last month's results are as follows: P1 P2 P3 Revenues Variable costs $170,000 47,000 $270,000 147,000 $270,000 111,300 Fixed costs total $270,000. What is Eastwick's break-even sales volume? (Assume the current product mix.) Multiple Choice 0 $710,000 0 $627,907 С $575 300 < Prev 10 of 31 Next >
QUESTION TWO Sanders Ltd is a manufacturing company producing two joint products P1 and P2 in...
QUESTION TWO Sanders Ltd is a manufacturing company producing two joint products P1 and P2 in the ratio of 3:1 at the split-off point. The two products are taken to the mixing plant for blending and refining after the split off point. The following information is also provided: Product P1 Product P2 Sales volume (litres) Selling price per litre Joint process costs* Blending and refining costs Other separable costs (all variable) *Joint costs are apportioned on the basis of volume...
Exercise 18-15 Computing variable and fixed costs LO C2 Harrison Co. expects to sell 260,000 units...
Exercise 18-15 Computing variable and fixed costs LO C2 Harrison Co. expects to sell 260,000 units of its product next year, which would generate total sales of $23,660,000. Management predicts that pretax net income for next year will be $1,310,000 and that the contribution margin per unit will be $19. Complete the below table to calculate the next year's total expected variable costs and fixed costs. HARRISON CO. Forecasted Contribution Margin Income Statement Units $ per unit 260,000 Contribution margin...
Red Duv Aviation has provided the following information for the month of July: Sales $360,000 Fixed...
Red Duv Aviation has provided the following information for the month of July: Sales $360,000 Fixed Manufacturing costs 35,000 Fixed marketing and administrative costs 25,000 Total fixed costs 60,000 Total variable costs 240,000 Unit price 90 Unit variable manufacturing costs 55 Unit variable marketing costs 5 Compute the following: a. Monthly operating profit when sales total $360,000 b. Break-even number in units c. Number of units sold that would produce an operating profit of $120,000 d. Sales dollars required to...
Bargain Town reported sales revenues of $773,500, a total contribution margin of $246,500, and fixed costs...
Bargain Town reported sales revenues of $773,500, a total contribution margin of $246,500, and fixed costs of $230,000. If sales volume amounted to 8,500 units, the company's variable cost per unit must have been:
Units: Contribution Margin Fixed Costs Operating Income Sales Revenue Variable Costs SafeNow sells its main product,...
Units:
Contribution Margin
Fixed Costs
Operating Income
Sales Revenue
Variable Costs
SafeNow sells its main product, ergonomic mouse pads, for $13 each. Its variable cost is $5.10 per pad. Fixed costs are $205,000 per month for volumes up to 65,000 pads. Above 65,000 pads, monthly fixed costs are $260,000. Prepare a monthly flexible budget for the product, showing sales revenue, variable costs, fixed costs, and operating income for volume levels of 40,000, 45,000, and 75,000 pads. SafeNow Flexible Budget Budget...
Jordan Company incurs annual fixed costs of $145,600. Variable costs for Jordan's product are $27.00 per...
Jordan Company incurs annual fixed costs of $145,600. Variable costs for Jordan's product are $27.00 per unit, and the sales price is $45.00 per unit. Jordan desires to earn an annual profit of $56,000. Required Use the contribution margin ratio approach to determine the sales volume in dollars and units required to earn the desired profit. (Do not round intermediate calculations. Round your final answers to the nearest whole number.) Sales in dollars Sales volume in units
Figure 14-14 Price Price MC SO S1 ATC P3 P3 w 22 P2 P1 P1 D1...
Figure 14-14 Price Price MC SO S1 ATC P3 P3 w 22 P2 P1 P1 D1 DO Q2 03 Duextity QW QYQX QZ Quantity Refer to Figure 14-14. Assume that the market starts in equilibrium at point W in panel (b) and that panel (a) illustrates the cost curves facing individual firms. Suppose that demand increases from DO to D1. Which of the following statements is correct? Points W. Y, and Z represent long-run equilibria. Points W, Y, Z, and...
1) A five-year project is expected to generate annual revenues of $159,000, variable costs of $72,500,...
1) A five-year project is expected to generate annual revenues of $159,000, variable costs of $72,500, and fixed costs of $15,000. The annual depreciation is $19,500 and the tax rate is 21 percent. What is the annual operating cash flow? 2) Your local athletic center is planning a $1.2 million expansion to its current facility. This cost will be depreciated on a straight-line basis over a 20-year period. The expanded area is expected to generate $745,000 in additional annual sales....
With Password Saved Help Eastwick produces and sells three products. Last month's results are as follows: P1 P2 P3 Revenues Variable costs $170,000 47,000 $270,000 147,000 $270,000 111,300 Fixed costs total $270,000. What is Eastwick's break-even sales volume? (Assume the current product mix.) Multiple Choice 0 $710,000 0 $627,907 С $575 300 < Prev 10 of 31 Next >
Exercise 18-15 Computing variable and fixed costs LO C2 Harrison Co. expects to sell 260,000 units of its product next year, which would generate total sales of $23,660,000. Management predicts that pretax net income for next year will be $1,310,000 and that the contribution margin per unit will be $19. Complete the below table to calculate the next year's total expected variable costs and fixed costs. HARRISON CO. Forecasted Contribution Margin Income Statement Units $ per unit 260,000 Contribution margin...
Units:
Contribution Margin
Fixed Costs
Operating Income
Sales Revenue
Variable Costs
SafeNow sells its main product, ergonomic mouse pads, for $13 each. Its variable cost is $5.10 per pad. Fixed costs are $205,000 per month for volumes up to 65,000 pads. Above 65,000 pads, monthly fixed costs are $260,000. Prepare a monthly flexible budget for the product, showing sales revenue, variable costs, fixed costs, and operating income for volume levels of 40,000, 45,000, and 75,000 pads. SafeNow Flexible Budget Budget...
Jordan Company incurs annual fixed costs of $145,600. Variable costs for Jordan's product are $27.00 per unit, and the sales price is $45.00 per unit. Jordan desires to earn an annual profit of $56,000. Required Use the contribution margin ratio approach to determine the sales volume in dollars and units required to earn the desired profit. (Do not round intermediate calculations. Round your final answers to the nearest whole number.) Sales in dollars Sales volume in units
Figure 14-14 Price Price MC SO S1 ATC P3 P3 w 22 P2 P1 P1 D1 DO Q2 03 Duextity QW QYQX QZ Quantity Refer to Figure 14-14. Assume that the market starts in equilibrium at point W in panel (b) and that panel (a) illustrates the cost curves facing individual firms. Suppose that demand increases from DO to D1. Which of the following statements is correct? Points W. Y, and Z represent long-run equilibria. Points W, Y, Z, and...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 10 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 10 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 10 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 10 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 10 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 10 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 10 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 10 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 10 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 10 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 10 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 10 months ago