Shutdown Break even point=Avoidable Fixed Cost÷Contribution per unit
=15000/6=2500
Cost Break even point units =Fixed Cost÷(Total sales Revenue-cost to make market) =5000/(13000-12000)=5
Required Return Profit=1200
Required Return After Tax =1200(1-0.20)=1200*0.8=960.
9. The data for a production time-based breakeven problem is in Table 4.6. Calculate the following...
Exercise 9-21 Breakeven Planning; Profit Planning (LO 9-2, 9-3] Connelly Inc., a manufacturer of quality electric ice cream makers, has experienced a steady growth in sales over the past few years. Because her business has grown, Jan DeJaney, the president, believes she needs an aggressive advertising campaign next year to maintain the company's growth. To prepare for the growth, the accountant prepared the following data for the current year: 17.00 20.50 8.50 46.ee $ Variable costs per ice cream maker...
I have posted the data table which is the first picture i Data Table Company Cloudy Windy Sunny S 1,300,000 Rainy $ (d) 693,000 S 0) Net Sales Revenue Variable Costs Fixed Costs Operating Income (Loss) 166,000 Units Sold Contribution Margin per Unit $ Contribution Margin Ratio (a) 144,000 346,500 374,400 (b) 203,000 270,000 $ (e) S (g) $87,200 130,000 12,000 4.00 S (f) S77.00 $ 18.00 70% 20% Print Done Requirement 1. Fill in the blanks operating loss.) for...
Using the data below, answering the following questions: Fixed costs $12,500,000 Variable cost/day $350 Charge (rev)/day $1,200 Inpatient days 16,000 Construct the hospital's base case projected P&L statement What is the hospital's breakeven point (volume / patient days needed to breakeven)? What is the economic breakeven (volume required) to provide a profit of $1,000,000? What is the total contribution margin if volume decreases by 20%? Based on the scenario in d., if fixed costs remain the...
One-Variable Data Table Your maximum weekly production capability is 200 gallons. You would like to create a one-variable data table to measure the impact of Production Cost, Gross Profit, and Net Profit based on selling between 10 and 200 gallons of paint within a week. a. Start in cell E3. Complete the series of substitution values ranging from 10 to 200 at increments of 10 gallons vertically down column E. b. Enter references to the Total Production Cost, Gross Profit,...
With the help of your CFO, you have put together the following preliminary budget figures based on last year's numbers for a planned production and sales level of 4,000 units per year: Building depreciation $200,000/yr. Machine operators $100,000/yr. Management staff $400,000/yr. Direct materials $4,000,000/yr. Other expenses that seem to vary based on production levels $3,000,000/yr. Other expenses that don't seem to vary $1,300,000/yr. Selling price per unit $5,000/unit Utilities: This category is difficult to analyze; a part of it is...
TABLE 3.1 Materials for a Batch COST/BATCH BATCH Mix 100 lbs. sand 38 lbs. soda 9 lbs. potassium 3 lbs. borax 14 lbs. lime 2 lbs. flourispar 3 lbs. zinc oxide COST/UNIT $35/ton $110/700 lbs $105/200 lbs. $.50/lb. $5.50/50 lbs. $.47/lb. $1.40/Ib. $1.75 5.97 4.72 1.50 1.54 94 4.20 169 lbs. $20.62 Additional Ingredients 20 grams antimony 40 grams arsenic $.23 $5.20/lb. $6.50/lb. .57 Total $.80 $21.42 Cullet: 31 lbs. We were unable to transcribe this imageTABLE 3.3 Production Times...
Performance Report Based on Actual Production Palladium Inc. produces a variety of household cleaning products. Palladium's controller has developed standard costs for the following four overhead items: Overhead Item Total Fixed Cost Variable Rate per Direct Labor Hour Maintenance $ 86,000 $0.20 Power 0.45 Indirect labor 140,000 2.10 Rent 35,000 Next year, Palladium expects production to require 90,000 direct labor hours. Assume that actual production required 98,000 direct labor hours at standard. The actual overhead costs incurred were as follows:...
ACCT 2301 Breakeven Handout #11 Yule Manufacturing Company reported the following data regarding a product it manufactures and sells. The sales price is $42. Variable costs Manufacturing Selling Fixed costs Manufacturing Selling and administrative $18 per unit 6 per unit $150,000 per year 66,000 per year a. Calculate the break-even point in units and dollars. b. Calculate the level of sales in units and dollars required to obtain a profit of $126,000. C. How much would the company earn if...
erformance Report Based on Actual Production Palladium Inc. produces a variety of household cleaning products. Palladium's controller has developed standard costs for the following four overhead items: Overhead Item Total Fixed Cost Variable Rate per Direct Labor Hour Maintenance $ 86,000 $0.20 Power 0.45 Indirect labor 140,000 2.10 Rent 35,000 Next year, Palladium expects production to require 90,000 direct labor hours. Assume that actual production required 106,000 direct labor hours at standard. The actual overhead costs incurred were as follows:...
riable Calculate the expected production costs if 9,000 units a E20-2 The controller of Norton Industries has the cost behaviour of maintenance costs. LIUIl cost listed as variable, fixed, or mixed. n costs if 9,000 units are produced. per of Norton Industries has collected the following monthly expense data for use in a for use in analyting ph. Total Total Month Maintenance Costs Machine Hours January $2,700 300 February 3,000 350 March 3,600 500 April 4,500 690 May 3,200 400...