Question

Exercise 2-11 (Static) Missing Data; Basic CVP Concepts [LO2-1, LO2-9] Fill in the missing amounts in each of the eight case situations below. Each case is independent of the others. (Hint: One way to find the missing amounts would be to prepare a contribution format income statement for each case, enter the known data, and then compute the missing items.) Required: a. Assume that only one product is being sold in each of the four following case situations: b. Assume that more than one product is being sold in each of the four following case situations: Complete this question by entering your answers in the tabs below. Required A Required B Assume that only one product is being sold in each of the four following case situations: Case #3 10,000 Case #4 6,000 $ 300,000 Case #1 Case #2 15,000 $ 180,000 $ 100,000 120,000 50,000 32,000 | $ 8,000 $ 10 Unit sold Sales Variable expenses Fixed expenses Net operating income (loss) Contribution margin per unit 70,000 100.000 (10,000) $ $ $ 12,000 13 Required A Required BΣ.

Answer 1

A.

	case 1	case 2	case 3	case 4
unit sold	15000	4000	10000	6000
sales	$180,000	$100,000	200000	$300,000
variable expenses	120000	60000	70000	210000
fixed expenses	50000	32000	118000	100000
net operating income(loss)	10000	8000	12000	-10000
contribution margin per unit	4	10	13	15

B.

	case 1	case 2	case 3	case 4
sales	$500,000	$400,000	250000	$600,000
variable expenses	400000	260000	100000	420000
fixed expenses	93000	100000	130000	185000
net operating income(loss)	7000	40000	20000	-5000
contribution margin ratio percent	20%	35%	60%	30%

the formula applied to calculate the missing figure is as follows:-

sale	xxx
less:variable cost	xxx
contribution	xxx
less:fixed cost	xxx
net oprating income(loss)	xxx/(xxx)