Homework Answers
| Income Statement | |||||
| Foxx Company | Beyonce Inc. | ||||
| Sales | $ 600,000 | $ 600,000 | |||
| Less: Variable Cost | $ 450,000 | $ 120,000 | |||
| Contribution Margin | $ 150,000 | 25% of Sales | $ 480,000 | 80% of Sales | |
| Less: Fixed Expenses | $ 100,000 | $ 400,000 | |||
| Net Operating Income | $ 50,000 | $ 80,000 | |||
| As the requirement of the question was not properly described I have given answer in both ways | |||||
| A. Net Operating incomes for all Sales Levels | |||||
| Sales | NOI | NOI | |||
| $ 100,000 | $ (75,000) | $ (320,000) | |||
| $ 200,000 | $ (50,000) | $ (240,000) | |||
| $ 300,000 | $ (25,000) | $ (160,000) | |||
| $ 400,000 | $ - | $ (80,000) | |||
| $ 500,000 | $ 25,000 | $ - | |||
| $ 600,000 | $ 50,000 | $ 80,000 | |||
| $ 700,000 | $ 75,000 | $ 160,000 | |||
| $ 800,000 | $ 100,000 | $ 240,000 | |||
| $ 900,000 | $ 125,000 | $ 320,000 | |||
| $ 1,000,000 | $ 150,000 | $ 400,000 | |||
| $ 1,100,000 | $ 175,000 | $ 480,000 | |||
| $ 1,200,000 | $ 200,000 | $ 560,000 | |||
| $ 1,300,000 | $ 225,000 | $ 640,000 | |||
| $ 1,400,000 | $ 250,000 | $ 720,000 | |||
| $ 1,500,000 | $ 275,000 | $ 800,000 | |||
| $ 1,600,000 | $ 300,000 | $ 880,000 | |||
| $ 1,700,000 | $ 325,000 | $ 960,000 | |||
| $ 1,800,000 | $ 350,000 | $ 1,040,000 | |||
| $ 1,900,000 | $ 375,000 | $ 1,120,000 | |||
| $ 2,000,000 | $ 400,000 | $ 1,200,000 | |||
| B. Sales Required for earning the following amounts of NOI | |||||
| NOI | Sales | Sales | |||
| $ 100,000 | $ 800,000 | $ 625,000 | |||
| $ 200,000 | $ 1,200,000 | $ 750,000 | |||
| $ 300,000 | $ 1,600,000 | $ 875,000 | |||
| $ 400,000 | $ 2,000,000 | $ 1,000,000 | |||
| $ 500,000 | $ 2,400,000 | $ 1,125,000 | |||
| $ 600,000 | $ 2,800,000 | $ 1,250,000 | |||
| $ 700,000 | $ 3,200,000 | $ 1,375,000 | |||
| $ 800,000 | $ 3,600,000 | $ 1,500,000 | |||
| $ 900,000 | $ 4,000,000 | $ 1,625,000 | |||
| $ 1,000,000 | $ 4,400,000 | $ 1,750,000 | |||
| $ 1,100,000 | $ 4,800,000 | $ 1,875,000 | |||
| $ 1,200,000 | $ 5,200,000 | $ 2,000,000 | |||
| $ 1,300,000 | $ 5,600,000 | $ 2,125,000 | |||
| $ 1,400,000 | $ 6,000,000 | $ 2,250,000 | |||
| $ 1,500,000 | $ 6,400,000 | $ 2,375,000 | |||
| $ 1,600,000 | $ 6,800,000 | $ 2,500,000 | |||
| $ 1,700,000 | $ 7,200,000 | $ 2,625,000 | |||
| $ 1,800,000 | $ 7,600,000 | $ 2,750,000 | |||
| $ 1,900,000 | $ 8,000,000 | $ 2,875,000 | |||
| $ 2,000,000 | $ 8,400,000 | $ 3,000,000 | |||
Add Answer to:
Contribution Margin Fixed Cost Foxx Company 0.25 100,000 Beyonce. In 0.8 400,000 $ $ Sales $...
A company sells a product with a contribution margin ratio of 20%. The company's monthly fixed...
A company sells a product with a contribution margin ratio of
20%. The company's monthly fixed expense is $400,000 and the
company's monthly target profit is $100,000. The dollar sales
required to attain the target profit are:
A.
$2,500,000
B.
$1,500,000
C.
$625,000
D.
$2,000,000
Sales above the break-even point will result in net profit equal
to _______.
A.
number of units above break-even times fixed cost per unit
B.
number of units above break-even times contribution margin per
unit...
2018 2017 Income Statement Information Sales revenue Cost of goods sold Net income $ $ 10,440,000...
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Company A is a manufacturer with sales of $4,000,000 and a 60% contribution margin. Its fixed costs equal $1,800,000. C...
Company A is a manufacturer with sales of $4,000,000 and a 60% contribution margin. Its fixed costs equal $1,800,000. Company B is a consulting firm with service revenues of $3,900,000 and a 25% contribution margin. Its fixed costs equal $400,000. Compute the degree of operating leverage (DOL) for each company. Which company benefits more from a 20% increase in sales Complete this question by entering your answers in the tabs below. Company Benefits DOL Compute the degree of operating leverage...
Contribution Margin Ratio a. Young Company budgets sales of $112,900,000, fixed costs of $25,000,000, and variable...
Contribution Margin Ratio a. Young Company budgets sales of $112,900,000, fixed costs of $25,000,000, and variable costs of $66,611,000. What is the contribution margin ratio for Young Company? % b. If the contribution margin ratio for Martinez Company is 40%, sales were $34,800,000, and fixed costs were $1,500,000, what was the operating income?
Contribution Margin Ratio a. Young Company budgets sales of $112,900,000, fixed costs of $25,000,000, and variable...
Contribution Margin Ratio a. Young Company budgets sales of $112,900,000, fixed costs of $25,000,000, and variable costs of $66,611,000. What is the contribution margin ratio for Young Company? % b. If the contribution margin ratio for Martinez Company is 40%, sales were $34,800,000, and fixed costs were $1,500,000, what was the operating income? $
Contribution Margin Ratio a. Young Company budgets sales of $800,000, fixed costs of $23400, and variable...
Contribution Margin Ratio a. Young Company budgets sales of $800,000, fixed costs of $23400, and variable costs of $104,000. What is the contribution margin ratio for Young Company? b. If the contribution margin ratio for Martinez Company is 66%, sales were $577,000, and fixed costs were $258,960, what was the operating income?
Contribution Margin Ratio a. Yountz Company budgets sales of $2,400,000, fixed costs of $525,000, and variable...
Contribution Margin Ratio a. Yountz Company budgets sales of $2,400,000, fixed costs of $525,000, and variable costs of $1,560,000. What is the contribution margin ratio for Yountz Company? (Enter your answer as a whole number.) b. If the contribution margin ratio for Vera Company is 40%, sales were $3,400,000, and fixed costs were $800,000, what was the income from operations?
Sales (100,000 units) Variable costs Contribution margin Fixed manufacturing costs Operating income Interest Earnings before taxes...
Sales (100,000 units) Variable costs Contribution margin Fixed manufacturing costs Operating income Interest Earnings before taxes Taxes (30°) Net Income $1.000.000 300.000 700,000 200,000 500.000 75.000 425.000 127,500 $297,500 Refer to the table. The degree of operating leverage S Select one: O a. 1.56x Ob.3.33% O c. 2.22% O d. 1.40x Sales (1,000 units) Variable costs Contribution margin Fixed manufacturing costs Operating income Interest Earnings before taxes Taxes (30°) Net Income Shares Outstanding $200,000 110,000 90,000 40.000 50.000 10,000 40,000...
750,000 1250,000 Contribution margin Fixed costs Income from operations $500,000 $750,000 400,000 $100,000 $300,000 o. Compute...
750,000 1250,000 Contribution margin Fixed costs Income from operations $500,000 $750,000 400,000 $100,000 $300,000 o. Compute the operating leverage for Beck Inc. and Bryant inc, If required, round to one decimal place Beck Inc. Bryant Inc. b. How much would income from operations increase for each company if the 2.5 V sales of each increased by 20%71 required round answers to nearest whole number Dollars Percentage Beck Inc. Bryant Inc. operations is due to the difference in the operating leverages....
Watson Company has monthly fixed costs of $83.000 and a 40% contribution margin Tato. IT the...
Watson Company has monthly fixed costs of $83.000 and a 40% contribution margin Tato. IT the company has set a target monthly income of $15,000, what dollar amon sales must be made to produce the target income? inc All of these During its most recent fiscal year, ost recent fiscal year, Dover, Inc. had total sales of $3,200,000. Contribution 902 ang amounted to $1,500,000 and pretax income was $400,000. What amount she been reported as variable costs in the company's...
A company sells a product with a contribution margin ratio of
20%. The company's monthly fixed expense is $400,000 and the
company's monthly target profit is $100,000. The dollar sales
required to attain the target profit are:
A.
$2,500,000
B.
$1,500,000
C.
$625,000
D.
$2,000,000
Sales above the break-even point will result in net profit equal
to _______.
A.
number of units above break-even times fixed cost per unit
B.
number of units above break-even times contribution margin per
unit...
2018 2017 Income Statement Information Sales revenue Cost of goods sold Net income $ $ 10,440,000 6,827,760 360,000 8,400,000 5,900,000 248,000 Balance Sheet Information Current assets Long-term assets $ 1,600,000 2,200,000 $ 1,500,000 1,900,000 Total assets $ 3,800,000 $ 3,400,000 $ Current liabilities Long-term liabilities Common stock Retained earnings 1.200,000 1,500,000 800,000 300,000 900.000 1,500,000 800,000 200,000 Total liabilities and stockholders' equity 3,800,000 $ 3,400,000 Required: 1. Calculate the following profitability ratios for 2018 (Round your answers to 1 decimal...
Company A is a manufacturer with sales of $4,000,000 and a 60% contribution margin. Its fixed costs equal $1,800,000. Company B is a consulting firm with service revenues of $3,900,000 and a 25% contribution margin. Its fixed costs equal $400,000. Compute the degree of operating leverage (DOL) for each company. Which company benefits more from a 20% increase in sales Complete this question by entering your answers in the tabs below. Company Benefits DOL Compute the degree of operating leverage...
Contribution Margin Ratio a. Young Company budgets sales of $112,900,000, fixed costs of $25,000,000, and variable costs of $66,611,000. What is the contribution margin ratio for Young Company? % b. If the contribution margin ratio for Martinez Company is 40%, sales were $34,800,000, and fixed costs were $1,500,000, what was the operating income?
Contribution Margin Ratio a. Young Company budgets sales of $800,000, fixed costs of $23400, and variable costs of $104,000. What is the contribution margin ratio for Young Company? b. If the contribution margin ratio for Martinez Company is 66%, sales were $577,000, and fixed costs were $258,960, what was the operating income?
Contribution Margin Ratio a. Yountz Company budgets sales of $2,400,000, fixed costs of $525,000, and variable costs of $1,560,000. What is the contribution margin ratio for Yountz Company? (Enter your answer as a whole number.) b. If the contribution margin ratio for Vera Company is 40%, sales were $3,400,000, and fixed costs were $800,000, what was the income from operations?
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750,000 1250,000 Contribution margin Fixed costs Income from operations $500,000 $750,000 400,000 $100,000 $300,000 o. Compute the operating leverage for Beck Inc. and Bryant inc, If required, round to one decimal place Beck Inc. Bryant Inc. b. How much would income from operations increase for each company if the 2.5 V sales of each increased by 20%71 required round answers to nearest whole number Dollars Percentage Beck Inc. Bryant Inc. operations is due to the difference in the operating leverages....
Watson Company has monthly fixed costs of $83.000 and a 40% contribution margin Tato. IT the company has set a target monthly income of $15,000, what dollar amon sales must be made to produce the target income? inc All of these During its most recent fiscal year, ost recent fiscal year, Dover, Inc. had total sales of $3,200,000. Contribution 902 ang amounted to $1,500,000 and pretax income was $400,000. What amount she been reported as variable costs in the company's...
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