Homework Answers
contribution margin is difference between sales price and variable cost
contribution margin should cover up target profit and fixed costs.
1) units to be sold= (fixed cost+target income)/contribution margin per unit
contribution margin = sales-variable cost
=$15-$10
=$5
units to be sold= (fixed cost+target income)/contribution margin per unit
=($3,000+$5,000)/$5
=$8000/5
=1,600 units
sorry we can answer only one question per post
please upvote if you find this helpful.Incase of query please comment.
Add Answer to:
1. The following data related to ABC Corporation Selling price /u AED 15 Variable cost per...
2. The selling price is AED 200, Direct material per unit is AED 150 and direct...
2. The selling price is AED 200, Direct material per unit is AED 150 and direct labour per unit is AED 200, rent expense per month $6,000 and salary expense per month AED 50,000., utility expense per month AED 4,000. How many units should be sold to make an operating profit of AED 50,000 per month?
2. ABC Company has variable operating cost of $15 per unit and sell price of $25...
2. ABC Company has variable operating cost of $15 per unit and sell price of $25 per unit if company's operating break-even point is 3000 unit: a) What is the fixed operating cost? b) If company produce 5000 units what is company's EBIT? c) Calculate the degree of operating leverage when company make 4000 units.
Spring Company has provided the following data: Sales per period Selling price Variable manufacturing cost Selling...
Spring Company has provided the following data: Sales per period Selling price Variable manufacturing cost Selling expenses Administrative expenses 6,000 units $80 per unit $15 per unit $5,000 plus 5% of selling price $4,000 plus 10% of selling price The contribution margin ratio is: 66.25% 2596 60% 7096
ABC Company has variable operating cost of $15 per unit and sell price of 22 per...
ABC Company has variable operating cost of $15 per unit and sell price of 22 per unit if company’s operating break-even point is 3000 unit: What is the fixed operating cost? If company produce 500 units what is company’s EBIT? Calculate the degree of operating leverage when company make 4000 units.
Lin Corporation has a single product whose selling price is $120 per unit and whose variable...
Lin Corporation has a single product whose selling price is $120 per unit and whose variable expense is $80 per unit. The company's monthly fixed expense is $50,000. Required: 1. Calculate the unit sales needed to attain a target profit of $10,000. 2. Calculate the dollar sales needed to attain a target profit of $15,000. (For all requirements, do not round intermediate calculations.) 1. Units sales to attain target profit 2. Dollar sales to attain target profit
Saunders manufactures a single product, details of which are as follows. per unit $ selling price...
Saunders manufactures a single product, details of which are as follows. per unit $ selling price 1500 direct materials 400 direct labour 200 variables overheads 150 Annual fixed production overheads are budgeted to be $4 million and Saunders expects to produce 80,000 units of Bark each year. Overheads are absorbed on a per unit basis. Budgeted fixed selling costs are $1,520,000 per quarter. Actual stock data for quarter of 2020 are given below. January -March April-June Sales 20000 23000 Production...
Questions 8-10 are based on the following revenue and cost structure: Selling price per unit: Variable...
Questions 8-10 are based on the following revenue and cost structure: Selling price per unit: Variable cost per unit: S 100 S 40 $12,000 40% Total fixed costs: ax rate on operating income: CPA Adapted] Theta Company sells product A at a selling price of S40 per unit. Theta's cost per unit based on the full capacity of 500,000 units is as follows: S 6 Direct materials Direct labour Indirect manufacturing (60% of which is fixed) 10 S19 A one-time-only...
The following information exists for ABC Company: Selling price per unit: $30 Variable expenses per...
The following information exists for ABC Company: Selling price per unit: $30 Variable expenses per unit: $21 Fixed expenses for the period: $60,000 Sales volume in units: 10,000 1. If advertising of $15,000 is spent to increase sales volume by 2,000 units, operating income will increase by ?? 2. Based on the information given above, ABC Company's contribution margin ratio will be ?? ------------------------------------------------------------------------------------------ The following information exists for ABC Company: Selling price per unit = $60 Variable expenses...
Lin Corporation has a single product whose selling price is $120 per unit and whose variable...
Lin Corporation has a single product whose selling price is $120 per unit and whose variable expense is $80 per unit. The company’s monthly fixed expense is $50,000. Required: 1. Calculate the unit sales needed to attain a target profit of $10,000. 2. Calculate the dollar sales needed to attain a target profit of $15,000
Ahmed’s Company manufactures and sells one product. The product has the following cost and revenue data: Selling...
Ahmed’s Company manufactures and sells one product. The product has the following cost and revenue data: Selling price Per Unit (AED) 70 Variable cost Per Unit (AED) 25 Total fixed expenses per month are as follows: Expenses types AED Advertising 200,000 Rent 100,000 Heating 100,000 The company produced and sold 10,000 units during the month and had no beginning or ending inventories. Match the closest correct answers for the below questions: - A. B. C. D. E. F. G. H. ...
2. The selling price is AED 200, Direct material per unit is AED 150 and direct labour per unit is AED 200, rent expense per month $6,000 and salary expense per month AED 50,000., utility expense per month AED 4,000. How many units should be sold to make an operating profit of AED 50,000 per month?
2. ABC Company has variable operating cost of $15 per unit and sell price of $25 per unit if company's operating break-even point is 3000 unit: a) What is the fixed operating cost? b) If company produce 5000 units what is company's EBIT? c) Calculate the degree of operating leverage when company make 4000 units.
Spring Company has provided the following data: Sales per period Selling price Variable manufacturing cost Selling expenses Administrative expenses 6,000 units $80 per unit $15 per unit $5,000 plus 5% of selling price $4,000 plus 10% of selling price The contribution margin ratio is: 66.25% 2596 60% 7096
Lin Corporation has a single product whose selling price is $120 per unit and whose variable expense is $80 per unit. The company's monthly fixed expense is $50,000. Required: 1. Calculate the unit sales needed to attain a target profit of $10,000. 2. Calculate the dollar sales needed to attain a target profit of $15,000. (For all requirements, do not round intermediate calculations.) 1. Units sales to attain target profit 2. Dollar sales to attain target profit
Questions 8-10 are based on the following revenue and cost structure: Selling price per unit: Variable cost per unit: S 100 S 40 $12,000 40% Total fixed costs: ax rate on operating income: CPA Adapted] Theta Company sells product A at a selling price of S40 per unit. Theta's cost per unit based on the full capacity of 500,000 units is as follows: S 6 Direct materials Direct labour Indirect manufacturing (60% of which is fixed) 10 S19 A one-time-only...
Most questions answered within 3 hours.
-
The tires of a car make 61 revolutions as the car reduces its
speed uniformly from...
asked 10 minutes ago -
Peabody, Inc., sells fireworks. The company’s marketing director
developed the following cost of goods sold budget...
asked 15 minutes ago -
A signal transduction pathway includes the steps listed
below.
1. An inactive signal transduction molecule is...
asked 14 minutes ago -
1. The correlation coefficient determined for two variables has
a value of 0.89. Describe, in words,...
asked 20 minutes ago -
The following data relate to direct materials costs for
November:
Actual costs
4,700 pounds at $5.35...
asked 18 minutes ago -
Kyle, a 95.0 kg football player, leaps straight up into the air
(with no horizontal velocity)...
asked 42 minutes ago -
Which of the following is a measure of profitability?
A.
Quick (acid-test) ratio
B.
Net sales...
asked 45 minutes ago -
Find the total pressure exerted by 2 grams of ethane and 3 grams
of CO2 contained...
asked 46 minutes ago -
A fireman standing on a 5.2 m high ladder operates a water hose
with a round...
asked 42 minutes ago -
A cream formulation is studied for accelerated stability study.
Creaming was observed when formulation was tested...
asked 45 minutes ago -
A 1,150 lumen light bulb is placed 37 cm in front of a mirrored
wall, whose...
asked 55 minutes ago -
Given that z is a standard normal random variable, compute the
following probabilities (to 4 decimals)....
asked 1 hour ago