New variable costs=$50*50%=$25
New fixed costs=(780,000+140,000)=$920,000
Contribution margin=Sales-Variable costs
=(50-25)=$25 per unit
Hence new breakeven point=Fixed cost/Contribution margin
=(920,000/25)
=36800 units.
Multiple Choice Question 117 Coronado Industries seis a product for $50 per unit. The wed costs...
Multiple Choice Question 114 Marigold Corps radios for $50 per unit. The fixed costs are $545000 and the variable costs are 60% of the selling price. As a result of new automated equipment, it is anticipated that fixed costs will increase by $35000 and variable costs will be 50% of the selling price. The new break-even point in unit is 21000 19150 27250 23200
Multiple Choice Question 116 Coronado Industries sells MP3 players for $50 each. Variable costs are $30 per unr, and fixed costs total $120000. How many MP3 players must Coronado sell to earn net income of $300000? 21000 10000 7000 6000
Page Break- Walters Corporation sells radios for $50 per unit. The fixed costs are $525,000 and the variable costs are 60% of the selling price. As a result of new automated equipment, it is anticipated that fixed costs will increase by $125,000 and variable costs will be 50 % of the selling price. The new break-even point in units is: a. 26,250 b. 26,000 c. 25,750 d. 21,000 T14
Vaughn Manufacturing sells radios for $50 per unit. The fixed costs are $605000 and the variable costs are 60% of the selling price. As a result of new automated equipment, it is anticipated that fixed costs will increase by $125000 and variable costs will be 50% of the selling price. The new break-even point in units is: a. 29200 b. 28150 c. 30250 d. 24200
1. Stephanie, Inc. sells its product for $40. The variable costs are $18 per unit. Fixed costs are $16,000. The company is considering the purchase of an automated machine that will result in a $2 reduction in unit variable costs and an increase of $5,000 in fixed costs. Which of the following is true about the break-even point in units? It will remain unchanged. It will decrease. It will increase. It cannot be determined from the information provided. 2.The following...
21- 2 Practice Exercises Break-Even Point Nicolas Enterprises sells a product for $117 per unit. The variable cost is $69 per unit, while fixed costs are $746,496. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $123 per unit. a. Break-even point in sales units units b. Break-even point if the selling price were increased to $123 per unit units
Multiple Choice Question 140 The following monthly data are available for Coronado Industries which produces only one product: Selling price per unit, 544; Unit variable expenses, $14; Total foed expenses, $42000; Act Sales for the month of June, 5000 units. How much is the margin of safety for the company for June? $1400 34000 43000 $158400
Question 20 Coronado Company has the following data: Variable costs are 80% of the unit selling price. The contribution margin per unit is $400. The fixed costs are $596000. Which of the following expresses the break-even point in dollars? O 0.20 x 596000 = X 596000 ÷ 0.80 = X ($596000 ÷ $400) x 0.80 = X $596000 0.20-x
Radison Enterprises sells a product for $98 per unit. The variable cost is $50 per unit, while fixed costs are $387,072. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $106 per unit. a. Break-even point in sales units units b. Break-even point if the selling price were increased to $106 per unit units
Multiple Choice Question 64 Waterway Industries sells two types of computer hard drives. The sales mix is 30% (Q-Drive) and 70% IQ-Drive Plus). Q-Drive has variable costs per unit of $90 and a selling price of $150. Q-Drive Plus has variable costs per unit of $105 and a selling price of $195. Waterway's foxed costs are $526500. How many units of Q-Drive would be sold at the break-even point? 2633 6500 4550 1950.