Hi, Please answer this 2 part question.
Part 1
Contribution margin | Per 100 yds | ||||
Sales | 240 | ||||
Less | variable cost | 192 | |||
Contribution margin | $48 | ||||
Contribution margin ratio | |||||
Choose Numerator | / | choose Denominator | = | contribution margin ratio | |
CM per unit | / | sales per unit | = | contribution margin ratio | |
48 | / | 240 | = | 20% | |
1(a) Estimate Product XT’s break-even point in terms of sales units. (1 unit = 100 yards) | |||||
Choose Numerator | / | choose Denominator | = | break even units | |
Fixed costs | / | contribution margin Per unit | Breakeven units | ||
235200 | / | 48 | 4900 units | ||
1(b)Estimate Product XT’s break-even point in terms of sales dollars. | |||||
Choose Numerator | / | choose Denominator | = | break even dollars | |
Fixed costs | / | contribution margin ratio | Breakeven dollars | ||
235200 | / | 20% | $1176000 | ||
Part 2
PRAVEEN CO. | ||||
Contribution Margin Income Statement (at Break-Even) — Product XT | ||||
Units | $ per unit | total | ||
Sales | 4900 | 240 | 1176000 | |
Less | variable cost | 4900 | 192 | 940800 |
Contribution margin | 4900 | 48 | 235200 | |
Less | fixed costs | 235200 | ||
Net income | 0 |
Hi, Please answer this 2 part question. Required information [The following information applies to the questions...
Required information The following information applies to the questions displayed below.) Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year's plans call for a $240 selling price per 100 yards of XT rope. Its fixed costs...
Required information [The following information applies to the questions displayed below.] Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year's plans call for a $230 selling price per 100 yards of XT rope. Its fixed costs...
Required information (The following information applies to the questions displayed below) Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year's plans call for a $190 selling price per 100 yards of XT rope. Its fixed costs...
Required information Problem 21-3A CVP analysis and charting LO P2, P3 (The following information applies to the questions displayed below.) Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year's plans call for a $200 selling price...
Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year's plans call for a $170 selling price per 100 yards of XT rope. Its fixed costs for the year are expected to be $214,200, up to a...
Need help with this accounting problem. Required information Problem 21-3A CVP analysis and charting LO P2, P3 [The following information applies to the questions displayed below.) Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year's plans...
Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year's plans call for a $200 selling price per 100 yards of XT rope. Its fixed costs for the year are expected to be $270,000, up to a...
Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year’s plans call for a $160 selling price per 100 yards of XT rope. Its fixed costs for the year are expected to be $262,400, up to a...
Praveen Co. manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang gliding, that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products, its total costs can be precisely measured. Next year’s plans call for a $280 selling price per 100 yards of XT rope. Its fixed costs for the year are expected to be $414,400, up to a...
Schedu h ome Chapter 18 Homework Help Seve Bleu Now 20. 1 NOV Check my work [The following information applies to the questions displayed below) Part 1 of 2 Praveen Co manufactures and markets a number of rope products. Management is considering the future of Product XT, a special rope for hang hiding that has not been as profitable as planned. Since Product XT is manufactured and marketed independently of the other products its total costs can be precisely measured....