Sales price per unit = 1000000/50000 = | $ 20.00 | |
Variable cost per unit = (500000+50000)/50000 = | $ 11.00 | |
Contribution margin per unit = 20-11 = | $ 9.00 | |
Breakeven point in units = Fixed cost/CM per unit = 180000/9 = | 20000 | Units |
2 points Sales (50.000 1.000.000 directmates and direct labor $500,000, other variable costs 550.000, and fixed...
Direct Materials Fixed Manufacturing overhead costs Sales Price Variable Manufacturing overhead Direct labor Fixed marketing and administrative costs Units produced and sold Variable marketing and administrative cost $25 per unit $157,000 $85 per unit $14 per unit $22 per unit $112,000 20,000 $7 per unit Calculate the contribution margin.
A company had sales of $5,250,000 (500,000 units); Variable costs ratio of .65 and Fixed costs of $1,500,000.... -Variable costs can be reduced by $1 per unit if the company incurs an additional $200,000 in fixed costs per year. What will be the effect on income if the company makes the change, and everything else stays the same? -If sales increase by 20,000 units, the variable cost ratio remains the same, and there is no change in fixed costs or...
If the fixed costs are $500,000 and variable costs are 60% of the break-even sales, what will be the sales revenue?
Direct materials Fixed manufacturing overhead costs Sales price Variable manufacturing overhead Direct labor Fixed marketing and administrative costs Units produced and sold Variable marketing and administrative costs 35 per unit 225,000 190 per unit 20 per unit 30 per unit $ 185,000 $ 5,000 $ 8 per unit Required: a. Prepare a gross margin income statement. b. Prepare a contribution margin income statement. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a...
Direct materials Fixed manufacturing overhead costs Sales price Variable manufacturing overhead Direct labor Fixed marketing and administrative costs Units produced and sold Variable marketing and administrative costs 35 per unit 215,000 205 per unit 19 per unit 34 per unit $ 205,000 $ 5,000 8 per unit Required: a. Prepare a gross margin income statement. b. Prepare a contribution margin income statement. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a gross...
The Dabeth Company has Sales of $750,000, variable costs of $500,000, and Fixed costs of $187,500. Determine the company's operating leverage. 7.5 4.0 2.5 6.0
Average Cost per Unit $7.00 4.00 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense 1.56e s 5.e0 $3.50 $ 2.5e $1.0e 6.50 Required: 1. For financial accounting purposes, what is the total amount of product costs incurred to make 20,000 units? 2. For financial accounting purposes, what is the total amount of period costs incurred to sell 20,000 units? 3. For financial accounting purposes, what is the...
Direct Materials, Direct Labor, and Reports budgeted and actual costs for variable and fixed factory overhead along with the related controllable and volume variances.Factory Overhead Cost Variance Analysis Mackinaw Inc. processes a base chemical into plastic. A detailed estimate of what a product should cost.Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 70,000 units of product were as follows: Standard Costs Actual Costs Direct materials 189,000 lbs. at $6.00 187,100...
6 Fixed costs Variable costs as a % of sales Desired net income 200,000 20% 500,000 Compute: Break even in $$ Required sales in $$ to earn desired net income 7 Fixed costs Variable costs as a % of sales Current net income Desired net income 300,000 20% 500,000 1,000,000 Compute: Break even in $$ Current sales in $$ Required sales in $$ to earn desired net income
Select all that apply Company A has sales of $500,000 variable costs of $350,000, and fixed costs of $150,000. Company A has: a contribution margin equal to fixed costs reached the break even point eared a net operating profit incurred a net operating loss