a. Break-even point = Fixed costs / Contribution margin per unit
Break-even point = $315,000 / ($76 - $41)
Break-even point = 9,000 units
b. New break-even point = New fixed costs / New contribution margin per unit
New break-even point = $250,000 / ($76 - $44)
New break-even point = 7,813 units
. Homework 2: Ch 4-5 Seved Help Save & Exit Submit Check my work Eaton Tool...
Eaton Tool Company has fixed costs of $464,600, sells its units for $98, and has variable costs of $52 per unit. a. Compute the break-even point. Break-even point units b. Ms. Eaton comes up with a new plan to cut fixed costs to $360,000. However, more labor will now be required, which will increase variable costs per unit to $55. The sales price will remain at $98. What is the new break-even point? (Round your answer to the nearest whole...
Eaton Tool Company has fixed costs of $210,600, sells its units for $58, and has variable costs of $32 per unit. a. Compute the break-even point. b. Ms. Eaton comes up with a new plan to cut fixed costs to $160,000. However, more labor will now be required, which will increase variable costs per unit to $35. The sales price will remain at $58. What is the new break-even point? (Round your answer to the nearest whole number.) ...
Eaton Tool Company has fixed costs of $255,000, sells its units for $66, and has variable costs of $36 per unit. a. Compute the break-even point. b. Joe Eaton comes up with a new plan to cut fixed costs to $200,000. However, more labor will now be required, which will increase variable costs per unit to $39. The sales price will remain at $66. What is the new break-even point? c. Under the new plan, what is likely to happen...
Ch 05 Ex 5-22 A Saved Help Save & Exit Submit Check my work Handy Home sells windows and doors in the ratio of 7.3 (Windows doors). The selling price of each window is $103 and of each door is $253. The variable cost of a window is $64.00 and of a door is $176.50. Fixed costs are $577,875. (Enter your "per unit" values in two decimal places.) points Selling Price per unit Total per composite unit (1) Determine the...
Chapter 2 Homework a Seved Help Save & Exit Submit Check my work 4 Exercise 2-5 (Algo) Computing Total Job Costs and Unit Product Costs Using Multiple Predetermined Overhead Rates (LO2-4) 7.22 points Braverman Company has two manufacturing departments—Finishing and Fabrication. The predetermined overhead rates Finishing and Fabrication are $22.00 per direct labor-hour and 120% of direct materials cost, respectively. The company's direct labor wage rate is $28.00 per hour. The following information pertains to Job 700: X 02:38:29 Skipped...
mework 1 Seved Help Save & Exit Submit Check my work Due to erratic sales of its sole product-a high-capacity battery for laptop computers-PEM, Inc., has been experiencing financial difficulty for some time. The company's contribution format income statement for the most recent month is given below: Sales (12,700 units * $20 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 254,000 127,000 127,000 142,000 $ (15, 000) Required: 1. Compute the company's CM ratio and its...
The Hartnett Corporation manufactures baseball bats with Pudge Rodriguez's autograph stamped on them. Each bat sells for $53 and has a variable cost of $28. There are $40,000 in fixed costs involved in the production process. a. Compute the break-even point in units. Break-even point units b. Find the sales (in units) needed to earn a profit of $19,000. Sales quantity needed units Eaton Tool Company has fixed costs of $421,400, sells its units for $92, and has variable costs...
21-Homework Saved Help Seve& Exit Submit Check my work QS 21-8 Contribution mergin retio and break-even dollars LO P2 SBD Phone Company sells ts wateproof phone case for $128 per unit Fixed costs total $257,000, and variable costs are $58 per unn Break-even point in dollars 峊显
21-Homework Saved Help Seve& Exit Submit Check my work QS 21-8 Contribution mergin retio and break-even dollars LO P2 SBD Phone Company sells ts wateproof phone case for $128 per unit Fixed costs total $257,000, and variable costs are $58 per unn Break-even point in dollars 峊显
21-Homework Saved Help Seve& Exit Submit Check my work QS 21-8 Contribution mergin retio and break-even dollars LO P2 SBD Phone Company sells ts wateproof phone case for $128 per unit Fixed costs total $257,000, and variable costs are $58 per unn Break-even point in dollars 峊显