Answer:
a | Tingler | Shocker | Stunner | ||
Sale | 302000 | 498000 | 200000 | ||
Varible Expenses | 150900 | 193100 | 137700 | ||
Contrbution margin | 151100 | 304900 | 62300 | ||
Fixed Expenses | 121412 | 232988 | 96200 | ||
Net Income | 29688 | 71912 | -33900 | ||
Total Net Income for cawley company | 29688+71912-33900 | = | 67700 | ||
b | If discontinue Stunner Line | ||||
Tingler | Shocker | ||||
Sale | 302000 | 498000 | |||
Varible Expenses | 150900 | 193100 | |||
Contrbution margin | 151100 | 304900 | |||
Fixed Expenses Common | 115515 | 187995 | |||
additional fixed Cost | 29688 | 71912 | |||
Net Income | 5697 | 44993 | |||
Net Income of Company | 5697+44993 | = | 50690 | ||
Fixed Common Expenses | (306000/800000)*302000 =115515 |
(302000/800000)*498000 =187995 |
|||
187995 | |||||
c | cawley should not eliminate Stunner product line because it's
reduce total profit by $ 17010 (67700-50690) |
Cawley Company makes three models of tasers. Information on the three products is given below. Sales...
Part B & C please
Cawley Company makes three models of tasers. Information on the three products is given below. Sales Variable expenses Contribution margin Fixed expenses Net income Tingler Shocker Stunner $302.000 $498,000 $200,000 150,900 193,100 137,700 151.100 304.900 62,300 121.412 232,988 96.200 $29,688 571,912 S[33.900) Fixed expenses consist of $306,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $29.000 (Tingler). $80,600 Shocker), and...
Cawley Company makes three models of tasers. Information on the three products is given below. Sales Variable expenses Contribution margin Fixed expenses Net income Tingler $298,000 150,900 147,100 121,380 $25,720 Shocker $502,000 206,400 295,600 234,920 $60,680 Stunner $200,000 136,900 63,100 96,600 $(33,500) Fixed expenses consist of $310,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $29,000 (Tingler), $79,300 (Shocker), and $34,600 (Stunner). The common costs...
Cawley Company makes three models of tasers. Information on the three products is given below. Tingler Shocker Stunner $298,000 $502,000 $200,000 Variable expenses 147,600 201,100 144,900 Contribution margin 150,400 300,90055,100 121,188 232,812 95,800 $29,212 $68,088 $(40,700) Sales Fixed expenses Net income Fixed expenses consist of $ 306,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $ 30,000 (Tingler),$79,200 (Shocker), and $34,600 Stunner). The common costs...
Cawley Company makes three models of tasers. Information on the three products is given below. Tingler Shocker Stunner Sales $306,000 $494,000 $200,000 Variable expenses 154,900 203,300 135,200 Contribution margin 151,100 290,700 64,800 Fixed expenses 119,964 224,736 93,700 Net income $31,136 $65,964 $(28,900) Fixed expenses consist of $294,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $30,000 (Tingler), $79,500 (Shocker), and $34,900 (Stunner). The common costs...
Cawley Company makes three models of tasers. Information on the three products is given below. Sales Variable expenses Contribution margin Fixed expenses Net income Tingler Shocker Stunner $304,000 $496,000 $200,000 147,900 192,600 143,100 156,100 303,400 56,900 118,984 226,016 94,000 $37,116 $77,384 $(37,100) Fixed expenses consist of $296,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $29,000 (Tingler), $79,200 (Shocker), and $34,800 (Stunner). The common costs...
Cawley Company makes three models of tasers. Information on the three products is given below. Sales Variable expenses Contribution margin Fixed expenses Net income Tingler Shocker Stunner $298,000 $502,000 $200,000 145,000 198,600 138,500 153,000 303,400 61,500 120,784 235,016 96,100 $32,216 $68,384 $(34,600) Fixed expenses consist of $308,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $29,000 (Tingler), $80,400 (Shocker), and $34,500 (Stunner). The common costs...
Cawley Company makes three models of tasers. Information on the three products is given below. Sales Variable expenses Contribution margin Fixed expenses Net income Tingler $295,000 145,000 150,000 115,853 $34,147 Shocker $495,000 190,000 305,000 224,736 $80,264 Stunner $195,000 135,000 60,000 91,411 $(31,411) Fixed expenses consist of $290,000 of common costs allocated to the three products based on relative sales, and additional fixed expenses of $29,000 (Tingler), $79,000 (Shocker), and $34,000 (Stunner). The common costs will be incurred regardless of how...
Cawley Company makes three models of tasers. Information on the three products is given below. Sales Variable expenses Contribution margin Fixed expenses Net income Tingler Shocker Stunner $296,000 $504,000 $200,000 147,100 200,700 138,200 148,900 303,300 61,800 119,984 233,216 94,900 $28,916 $70,084 $(33,100) Fixed expenses consist of $304,000 of common costs allocated to the three products based on relative sales, as well as direct fixed expenses unique to each model of $30,000 (Tingler), $80,000 (Shocker), and $34,100 (Stunner). The common costs...
Cawley Company makes three models of tasers. Information on the three products is given below Sales Variable expenses Contribution margin Fixed expenses Net income Tingler Shocker Stunner $300,000 S500,000 $200,000 135,000 65,000 93,000 $18,000 $85,000 (28,000) 165,000 190,000 135,000 117,000 225,000 310,000 Fixed expenses consist of $290,000 of common costs allocated to the three products based on relative sales, and additional fixed expenses of $30,000 (Tingler), $80,000 (Shocker), and $35,000 (Stunner). The common costs will be incurred regardless of how...
Cawley Company makes three models of tasers. Information on the
three products is given below.
Tingler
Shocker
Stunner
Sales
$304,000
$496,000
$200,000
Variable expenses
147,900
192,600
143,100
Contribution margin
156,100
303,400
56,900
Fixed expenses
118,984
226,016
94,000
Net income
$37,116
$77,384
$(37,100)
Fixed expenses consist of $296,000 of common costs allocated to the
three products based on relative sales, as well as direct fixed
expenses unique to each model of $29,000 (Tingler), $79,200
(Shocker), and $34,800 (Stunner). The common costs...