Part1 | Total Cost | Per Unit | |
Sales | $ 396,000.00 | 30 | |
Variablre Cost | $ 237,600.00 | 18 | |
Contribution Margin | $ 158,400.00 | 12 | |
CM Ratio (CM/Sales) | 0.4 | ||
Fixed Expenses | $ 176,400.00 | ||
Breakeven in $ (Fixed Expenses/ CM) | $ 441,000.00 | ||
Breakeven In Units (Fixed Expenses / CM per unit) | 14,700.00 | ||
Part2 | |||
Sales (396000+88000) | $ 484,000.00 | ||
Variable Expenses (60% of Sales) | $ 290,400.00 | ||
Contribution Margin (Sales- Variable Expenses) | $ 193,600.00 | ||
Fixed Expenses (176400+6400) | $ 182,800.00 | ||
Projected Net Operating Income (CM-Fixed exp) | $ 10,800.00 | ||
Current Net Operating Loss | $ (18,000.00) | ||
Increase In operating Income | $ 28,800.00 | ||
Part3 | |||
Sales (27*26400) | $ 712,800.00 | ||
Variable Expenses (26400*18) | $ 475,200.00 | ||
Contribution Margin (Sales-VC) | $ 237,600.00 | ||
Fixed Expenses (176400+32000) | $ 208,400.00 | ||
Revised Net Operating Income | $ 29,200.00 | ||
Part4 | |||
Sales (13200*30) | $ 396,000.00 | ||
Variable Expenses (13200*18.60) | $ 245,520.00 | ||
Contribution Margin | $ 150,480.00 | ||
Fixed Expenses plus Target Profit (176400+4300) | $ 294,700.00 | ||
CM Ratio | 0.38 | ||
Contribution per unit | $ 11.40 | ||
Breakeven In Units to achieve Target Profit | 25851 |
Due to erratic sales of its sole product-a high-capacity battery for laptop computers–PEM, Inc., has been...
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 (13,200 units x $30 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 396,000 198,000 198,000 220,500 $ (22,500) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales. 2. The president believes...
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 (13,200 units * $30 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 396,000 237,600 158, 400 176,400 $ (18,000) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales. 2. The president...
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 (12,600 units * $30 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 378,000 226,800 151,200 169,200 $ (18,000) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales. 2. The president believes...
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 (12,900 units × $20 per unit) $ 258,000 Variable expenses 129,000 Contribution margin 129,000 Fixed expenses 144,000 Net operating loss $ (15,000 ) Required: 1. Compute the company’s CM ratio and its break-even point in unit sales and dollar sales. 2. The...
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 (12,800 units X $30 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 384,000 230,400 153,600 171,600 $ (18,000) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales 2. The president believes...
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 X $20 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 254,000 152,400 101,600 113,600 $ (12,000) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales. 2. The president believes...
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 (13,100 units * $30 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 393,000 235, 800 157,200 175, 200 $ (18,000) Required: Reg 1 Reg 2 Req3 Req 4 Req 5A Req 5B Req 5C Compute the company's CM ratio...
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 (13,300 units * $30 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 399,000 239,400 159,600 177,600 $ (18,000) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales. 2. The president believes...
Help solving 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: $252,000 Sales (12,600 units X $20 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss 151,200 100,800 112,800 $(12,000) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales. 2. The president believes...
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 (13,200 units * $30 per unit) Variable expenses Contribution margin Fixed expenses Net operating loss $ 396,000 198,000 198,000 229,500 $ (22,500) Required: 1. Compute the company's CM ratio and its break-even point in unit sales and dollar sales. 2. The president believes...