Question

I need solution for 3 question please!

REVIEW EXERCISE 213 ice any of this chapters exercises marked in green as often as you want. The puided solutions help step. You'll find a personalized study plan and additional interactive resources to help you mter 3. LO0e0 The operating budget of the Bea Company contains the following information Sales at 80% ersal ew street information: ble cost is $185; $400 000 of capacity Fixed costs Variable costs Total costs Net income $105 000 260 000 365 000 S35 000 (a) Compute (i) the contribution margin; (i) the contribution rate. (b) Compute the break-even point (i) as a percent of capacity; (ii) in sales dollars. (c) Draw a detailed break-even chart. (d) Determine the break-even point in sales dol- nt situa- lars if fixed costs are reduced by $11 200, while int as a variable costs are changed to 72% of sales. 4. LO000 A manufacturer of major appliances provides the following information about the operations of the refrigeration division: Tired costs per period are $26 880; variable costs it it $640:

Answer 1

Particulars Sales @ 80% capacity Fixed Costs Variable Costs Total Costs Net Income Contribution Contribution margin 400,000.00 A 105,000.00 260,000.00 365,000.00 D-B+C 35,000.00 E-A-D 140,000.00 F-A-C 35.00% G-F/A ontribution rate ot possible to calculate as no. of units not provided Break even point means when we are able to recover our fixed costs At 80% capacity we are earning contribution of 140,000 Break even point as a percentage of capacit 60% C*80%/F Break even in sales dollars: 300,000.00 B/G Ans-d Sales Variable costs Contribution Contribution % Fixed Costs Break even in sales dcllars: 400,000.00 A 72% 288,000.00 H 112,000.00-A-H 28% 93,800.00 K 335,000.00 K/J 105000-11200