Homework Answers
Cash expenditures for fixed costs=$500,000(1-0.1)=$450,000
Hence cash breakeven point=Cash expenditures for fixed costs/Contribution margin
=($450,000/4.6)
which is equal to
=97826 units(Approx).
Add Answer to:
Calloway Cab Company determines its break-even strictly on the basis of cash expenditures related to fixed...
Boise Timber Co. computes its break-even point strictly on the basis of cash expenditures related to...
Boise Timber Co. computes its break-even point strictly on the basis of cash expenditures related to fixed costs. Its total fixed costs are $6,800,000, but 25 percent of this value is represented by depreciation. Its contribution margin (price minus variable cost) for each unit is $12. How many units does the firm need to sell to reach the cash break-even point? (Round your answer to the nearest whole number.) Cash break-even point units
Using the following data, determine the following for each firm: Break even points in terms of...
Using the following data, determine the following for each firm: Break even points in terms of units Margin of Safety Operating Leverage ABC, Inc XYZ, Inc Tax Rate 20% 15% Units Sold 5000 5000 Sales $300,000 $300,000 Variable Costs $180,000 $60,000 Contribution M Fixed Costs $75,000 $195,000 Operating Income Determine number of units to be sold to reach a profit of $95,000 after taxes. Explain why one firm must sell more units to reach the $95,000 after-taxes target profit despite...
eBook Calculator Break-Even Chart Name the following chart, and identify the items represented by the letters...
eBook Calculator Break-Even Chart Name the following chart, and identify the items represented by the letters (a) through (: $200,000 5150,000 Sales and Costs $100,000 d $50,000 10,000 20,000 30.000 40.000 50,000 60,000 70.000 80,000 90,000 100.000 Units of Sales Name the chart pictured above. cost-volume-proflt chantv Identify the tems represented by the letters Cho My Won O → c $ * 8 % & 7 9 6 ssignment/ eBook Show Me How Calculator Margin of Safety . If Canace...
BREAK-EVEN ANALYSIS A company's fixed operating costs are $500,000, its variable costs are $2.30 per unit,...
BREAK-EVEN ANALYSIS A company's fixed operating costs are $500,000, its variable costs are $2.30 per unit, and the product's sales price is $4.80. What is the company's break- even point; that is, at what unit sales volume will its income equal its costs? Round your answer to the nearest whole number. units
Chapter 3 - Journal Cost-Volume-Profit Analysis Break Even Analysis Break Even is the level of operations...
Chapter 3 - Journal Cost-Volume-Profit Analysis Break Even Analysis Break Even is the level of operations where Profit equals zero. EXERCISE 1: Abner Corporation makes a product that sells for $200 per unit. The Variable Costs per unit are $120. Fixed Costs total $500,000 each year. Abner currently sells 7,500 units per year. Calculate the number of units that Abner must sell to break even. Use the equation method to solve for the number of units Abner needs to sell...
QS 18-6 Contribution margin per unit and break-even units LO P2 SBD Phone Company sells its...
QS 18-6 Contribution margin per unit and break-even units LO P2 SBD Phone Company sells its waterproof phone case for $90 per unit. Fixed costs total $135,000, and variable costs are $36 per unit. (1) Determine the contribution margin per unit. per unit per unit Contribution margin per unit (2) Determine the break-even point in units. Choose Numerator: Choose Denominator: = Break Even Units Break even units
Break-Even in Units and Sales Dollars, Margin of Safety Drake Company produces a single product. Last...
Break-Even in Units and Sales Dollars, Margin of Safety Drake Company produces a single product. Last year's income statement is as follows: Sales (18,000 units) $1,083,600 Less: Variable costs 723,600 Contribution margin $360,000 Less: Fixed costs 273,000 Operating income $87,000 Required: 1. Compute the break-even point in units and sales revenue. In your computations, round the contribution margin per unit to the nearest cent and round the contribution margin ratio to four decimal places. Round your final answers to the...
Sales Mix and Break-Even Sales Data related to the expected sales of kayaks and canoes for...
Sales Mix and Break-Even Sales Data related to the expected sales of kayaks and canoes for River Sports Inc. for the current year, which is typical of recent years, are as follows: Products Unit Selling Price Unit Variable Cost Sales Mix Kayaks $260 $180 40% Canoes 560 260 60% The estimated fixed costs for the current year are $1,424,640. Instructions: 1. Determine the estimated units of sales of the overall product necessary to reach the break-even point for the current...
Check QS 18-8 Contribution margin ratio and break-even dollars LO P2 SBD Phone Company sells its...
Check QS 18-8 Contribution margin ratio and break-even dollars LO P2 SBD Phone Company sells its waterproof phone case for $90 per unit. Fixed costs total $162,000, and variable costs are $36 per unit. (1) Determine the contribution margin ratio per units ME Contribution margin Contribution margin ratio Choose Numerator: Choose Denominator: Contribution margin Contribution margin ratio (2) Determine the break even point in dollars. Choose Numerator: Choose Denominator Break-even point in dollars Break-even point in dollars < Prev 7...
QS 21-6 Contribution margin per unit and break-even units LO P2 SBD Phone Company sells its...
QS 21-6 Contribution margin per unit and break-even units LO P2 SBD Phone Company sells its waterproof phone case for $95 per unit. Fixed costs total $193,800, and variable costs are $38 per unit. (1) Determine the contribution margin per unit. per unit per unit Contribution margin per unit (2) Determine the break-even point in units. Choose Numerator: 1 Choose Denominator: Break Even Units Break even units 1
Boise Timber Co. computes its break-even point strictly on the basis of cash expenditures related to fixed costs. Its total fixed costs are $6,800,000, but 25 percent of this value is represented by depreciation. Its contribution margin (price minus variable cost) for each unit is $12. How many units does the firm need to sell to reach the cash break-even point? (Round your answer to the nearest whole number.) Cash break-even point units
eBook Calculator Break-Even Chart Name the following chart, and identify the items represented by the letters (a) through (: $200,000 5150,000 Sales and Costs $100,000 d $50,000 10,000 20,000 30.000 40.000 50,000 60,000 70.000 80,000 90,000 100.000 Units of Sales Name the chart pictured above. cost-volume-proflt chantv Identify the tems represented by the letters Cho My Won O → c $ * 8 % & 7 9 6 ssignment/ eBook Show Me How Calculator Margin of Safety . If Canace...
BREAK-EVEN ANALYSIS A company's fixed operating costs are $500,000, its variable costs are $2.30 per unit, and the product's sales price is $4.80. What is the company's break- even point; that is, at what unit sales volume will its income equal its costs? Round your answer to the nearest whole number. units
Chapter 3 - Journal Cost-Volume-Profit Analysis Break Even Analysis Break Even is the level of operations where Profit equals zero. EXERCISE 1: Abner Corporation makes a product that sells for $200 per unit. The Variable Costs per unit are $120. Fixed Costs total $500,000 each year. Abner currently sells 7,500 units per year. Calculate the number of units that Abner must sell to break even. Use the equation method to solve for the number of units Abner needs to sell...
QS 18-6 Contribution margin per unit and break-even units LO P2 SBD Phone Company sells its waterproof phone case for $90 per unit. Fixed costs total $135,000, and variable costs are $36 per unit. (1) Determine the contribution margin per unit. per unit per unit Contribution margin per unit (2) Determine the break-even point in units. Choose Numerator: Choose Denominator: = Break Even Units Break even units
Check QS 18-8 Contribution margin ratio and break-even dollars LO P2 SBD Phone Company sells its waterproof phone case for $90 per unit. Fixed costs total $162,000, and variable costs are $36 per unit. (1) Determine the contribution margin ratio per units ME Contribution margin Contribution margin ratio Choose Numerator: Choose Denominator: Contribution margin Contribution margin ratio (2) Determine the break even point in dollars. Choose Numerator: Choose Denominator Break-even point in dollars Break-even point in dollars < Prev 7...
QS 21-6 Contribution margin per unit and break-even units LO P2 SBD Phone Company sells its waterproof phone case for $95 per unit. Fixed costs total $193,800, and variable costs are $38 per unit. (1) Determine the contribution margin per unit. per unit per unit Contribution margin per unit (2) Determine the break-even point in units. Choose Numerator: 1 Choose Denominator: Break Even Units Break even units 1
Most questions answered within 3 hours.
-
Given P(Ec ) = 0.43, P(F) = 0.52, and P(EF) = 0.18.
Find P( E |...
asked 29 minutes ago -
Consider two empty containers A and B whose volumes are
10mL and 20mL respectively. 1mL of...
asked 33 minutes ago -
QUESTION 6
Determine the linear momentum of a 2,800 kg houseboat going 3
m/s.
9,100 kg.m/s...
asked 47 minutes ago -
Jor-el throws a ball upward from the top of a 728 foot building
on the planet...
asked 51 minutes ago -
Which of the following will most likely to happen if Federal
Reserve Bank decreases the money...
asked 33 minutes ago -
You’ve just joined the investment banking firm of Dewey,
Cheatum, and Howe. They’ve offered you two...
asked 28 minutes ago -
An air conditioner cools 226 m^3/min of humid air at 36 oC and
98% relative humidity...
asked 27 minutes ago -
Vaughn Manufacturing acquires a coal mine at a cost of $1870000.
Intangible development costs total $354000....
asked 36 minutes ago -
Question 5
What effect would a decrease in
temperature have on pressure, assuming that volume
(T)...
asked 49 minutes ago -
Draw the Lewis dot structures for the following molecules. None
of the atoms have a formal...
asked 53 minutes ago -
What does it mean when an element is radioactive?
a.
It means the element is changing...
asked 54 minutes ago -
A company deposits $6,000 in a bank at the end of every year for
10 years....
asked 53 minutes ago