Homework Answers
| Variable cost changes with change in sales level, but variable cost per unit is same for certain level of activity. | ||
| Varaible cos per unit = Total variable cost for given prod/sales volume | 246000/24000 | 10.25 |
| So, for 20000 units | 20000*10.25 | 205000 |
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11. A company has variable costs of $246,000 at a sales volume of 24,000 units. What...
Based on predicted production of 24,000 units, a company anticipates $300,000 of fixed costs and $246,000...
Based on predicted production of 24,000 units, a company anticipates $300,000 of fixed costs and $246,000 of variable costs. If the company actually produces 20,000 units, what are the flexible budget amounts of fixed and variable costs? ------Flexible Budget------ ------Flexible Budget at ------ Variable Amount per Unit Total Fixed Cost 24,000 units 20,000 units Variable cost $10.25 $246,000 $205,000 Fixed costs 300,000 300,000 Total budgeted costs $546,000 $505,000
Based on predicted production of 24,000 units, a company anticipates $300,000 of fixed costs and $246,000...
Based on predicted production of 24,000 units, a company anticipates $300,000 of fixed costs and $246,000 of variable costs. If the company actually produces 20,000 units, what are the flexible budget amounts of fixed and variable costs? ------Flexible Budget at ------ ------Flexible Budget------ Variable Total Fixed Amount per Cost Unit 24,000 units 20,000 units Fixed costs Variable cost Total budgeted costs $ 0 $ 0
QUESTION 1 At current production volume of 10 units, Gamma Company has total variable costs of...
QUESTION 1 At current production volume of 10 units, Gamma Company has total variable costs of $300 and total fixed costs of $280. If production is expected to drop to 8 units in the next period, what is the total cost projected for the next period? A 5520 B. $240 C.5580 D. $464 QUESTION 2 Alpha Company has a selling price of $30, unit variable cost of $10, and sales volume of 300 units. Fixed costs total $1,000. Alpha believes...
A company’s flexible budget for 10,000 units of production showed sales, $56,000; variable costs, $24,000; and...
A company’s flexible budget for 10,000 units of production showed sales, $56,000; variable costs, $24,000; and fixed costs, $16,000. The variable costs expected if the company produces and sells 16,000 units is: Multiple Choice $56,000. $72,000. $54,400. $38,400. $24,000
A company had sales of $5,250,000 (500,000 units); Variable costs ratio of .65 and Fixed costs...
A company had sales of $5,250,000 (500,000 units); Variable costs ratio of .65 and Fixed costs of $1,500,000.... -Variable costs can be reduced by $1 per unit if the company incurs an additional $200,000 in fixed costs per year. What will be the effect on income if the company makes the change, and everything else stays the same? -If sales increase by 20,000 units, the variable cost ratio remains the same, and there is no change in fixed costs or...
The following is Alsatian Corporation’s contribution format income statement from last month: Sales(2000 units x $70) $140,000 Less: Variable Costs 84,000 Contribution Margin 56,000 Less: Fixed Expenses 24,000 Operating In
The following is Alsatian Corporation’s contribution format income statement from last month: Sales(2000 units x $70) $140,000 Less: Variable Costs 84,000Contribution Margin 56,000Less: Fixed Expenses 24,000Operating Income $32,000The company has no beginning or ending inventories and produced and sold 2,000 units during the month. Required:A/ What is the company’s break-even sales in $(2) B/ If the sales volume increases by 10% and variable costs/unit decreases by $2.00, what will the new operating income be? Produce a...
Stacey has a sales volume of 7,000 units. Stacey's company total fixed costs are $42,000 and...
Stacey has a sales volume of 7,000 units. Stacey's company total fixed costs are $42,000 and total variable cost are $28,000. If Stacey sells 9,000 units, the total expected cost would be: O $63,000 O $85.000 O $78,000 O $76,000
A company's flexible budget for 16,000 units of production showed sales, $48,000; variable costs, $24,000; and fixed co...
A company's flexible budget for 16,000 units of production showed sales, $48,000; variable costs, $24,000; and fixed costs, $17,000. The operating income expected if the company produces and sells 17,000 units is: Multiple Choice o $ 7,000. o $44,000. o $5,000. o $8,500. o $22,000.
Help Save & Sub Cobe Company has already manufactured 24,000 units of Product A at a...
Help Save & Sub Cobe Company has already manufactured 24,000 units of Product A at a cost of $15 per unit. The 24,000 units can be sold at this stage for $460,000. Alternatively, the units can be further processed at a S210,000 total additional cost and be converted into 5 200 units of Product B and 11,400 units of Product C. Per unit selling price for Product B is $108 and for Product C is $58. 1. Prepare an analysis...
C- The following information relate to Nour Company: Total sales $700,000 (10,000 units) - Total Variable...
C- The following information relate to Nour Company: Total sales $700,000 (10,000 units) - Total Variable costs $400,000 - Total fixed costs $270,000 Required: (Consider each case separately): 1. If the sales increase by 100 units, what would be the revised marks) C- The following information relate to Nour Company: Total sales $700,000 (10,000 units) - Total Variable costs $400,000 - Total fixed costs $270,000 Required: (Consider each case separately): 1. If the sales increase by 100 units, what would...
Based on predicted production of 24,000 units, a company anticipates $300,000 of fixed costs and $246,000 of variable costs. If the company actually produces 20,000 units, what are the flexible budget amounts of fixed and variable costs? ------Flexible Budget at ------ ------Flexible Budget------ Variable Total Fixed Amount per Cost Unit 24,000 units 20,000 units Fixed costs Variable cost Total budgeted costs $ 0 $ 0
QUESTION 1 At current production volume of 10 units, Gamma Company has total variable costs of $300 and total fixed costs of $280. If production is expected to drop to 8 units in the next period, what is the total cost projected for the next period? A 5520 B. $240 C.5580 D. $464 QUESTION 2 Alpha Company has a selling price of $30, unit variable cost of $10, and sales volume of 300 units. Fixed costs total $1,000. Alpha believes...
Stacey has a sales volume of 7,000 units. Stacey's company total fixed costs are $42,000 and total variable cost are $28,000. If Stacey sells 9,000 units, the total expected cost would be: O $63,000 O $85.000 O $78,000 O $76,000
A company's flexible budget for 16,000 units of production showed sales, $48,000; variable costs, $24,000; and fixed costs, $17,000. The operating income expected if the company produces and sells 17,000 units is: Multiple Choice o $ 7,000. o $44,000. o $5,000. o $8,500. o $22,000.
Help Save & Sub Cobe Company has already manufactured 24,000 units of Product A at a cost of $15 per unit. The 24,000 units can be sold at this stage for $460,000. Alternatively, the units can be further processed at a S210,000 total additional cost and be converted into 5 200 units of Product B and 11,400 units of Product C. Per unit selling price for Product B is $108 and for Product C is $58. 1. Prepare an analysis...
C- The following information relate to Nour Company: Total sales $700,000 (10,000 units) - Total Variable costs $400,000 - Total fixed costs $270,000 Required: (Consider each case separately): 1. If the sales increase by 100 units, what would be the revised marks) C- The following information relate to Nour Company: Total sales $700,000 (10,000 units) - Total Variable costs $400,000 - Total fixed costs $270,000 Required: (Consider each case separately): 1. If the sales increase by 100 units, what would...
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