ZuoTi.Pro
Question

Launch Company sells 2500 paddleboards per year at a sales price of $470 per unit. Launch...

Launch Company sells 2500 paddleboards per year at a sales price of $470 per unit. Launch sells in a highly competitive market and uses target pricing. The company has $800,000 of assets, and the shareholders wish to make a profit of 16% on assets. Variable cost is $190 per unit and cannot be reduced. Assume all products produced are sold. What are the target fixed costs?

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1


0 0
Add a comment
Know the answer?
Add Answer to:
Launch Company sells 2500 paddleboards per year at a sales price of $470 per unit. Launch...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Haskins Products sells 2 comma 200 kayaks per year at a sales price of $ 450...

    Haskins Products sells 2 comma 200 kayaks per year at a sales price of $ 450 per unit. Haskins sells in a highly competitive market and uses target pricing. The company has calculated its target full product cost at $ 720 comma 000 per year. Total variable costs are $ 330 comma 000 per year and cannot be reduced. Assume all products produced are sold. What are the target fixed​ costs? $ 390 comma 000 B. $ 990 comma 000...

  • Accompany makes and sells widgets. The sales price is $10 per unit. The company does not...

    Accompany makes and sells widgets. The sales price is $10 per unit. The company does not know have been produced. At sales volume of 55,000 units, total costs = $607,500 At sales volume of 70,000 units , total costs = $675,000. Required: (a) Calculate the break-even point in sales. (b) Calculate the margin of safety if budgeted sales are 68,000 units. (c) Calculate the volume of sales required to achieve a target profit of $40,000. Comment on whether you think...

  • 6. DEF Company manufactures and sells a single product that sells for $450 per unit; varialble...

    6. DEF Company manufactures and sells a single product that sells for $450 per unit; varialble costs are $270. Annual fixed costs are $800,000. The products current break-even point in dollars is $2,000,000 and sales are expected to be $4,000,000. (5 Points) The current margin of safety in dollars is: (5 Points) The current margin of safety percentage is: 7. XYZ Company manufactures and sells a single product that sells for $400 per unit; variable costs are $200. Annual fixed...

  • Assume that a company sells customized sweatshirts for $15 per unit. It pays a sales commission...

    Assume that a company sells customized sweatshirts for $15 per unit. It pays a sales commission of $5 per unit sold. The company must buy sweatshirts from its supplier in batches of 100 units at an average unit cost of $7 per sweatshirt. The number of sweatshirts the company would need to sell to earn a target profit of $1,650 is closest to:

  • The selling price of Roscioli Corp only product is $210 per unit and its variable expense...

    The selling price of Roscioli Corp only product is $210 per unit and its variable expense is $75.60 per unit. The company’s monthly fixed expense is $537,600. Assume the company’s monthly target profit is $13,440. Determine the sales to attain that target profit 830,000 861,000 None of the above Hirz Corp. products and sells a single product. Data concerning that product appear below: Sale price per unit: 190 Variable price per unit: 89.30 Fixed cost:102.714 Determine the contribution margin ratio...

  • Woodsman Company sells a product for $155 per unit. The variable cost is $70 per unit,...

    Woodsman Company sells a product for $155 per unit. The variable cost is $70 per unit, and fixed costs are $408,000. Determine (a) the break-even point in sales units and (b) the sales units required for the company to achieve a target profit of $114,240. a. Break-even point in sales units    units b. Break-even point in sales units required for the company to achieve a target profit of $114,240 units

  • Forest Company sells a product for $205 per unit. The variable cost is $90 per unit,...

    Forest Company sells a product for $205 per unit. The variable cost is $90 per unit, and fixed costs are $713,000. Determine (a) the break-even point in sales units and (b) the break-even point in sales units if the company desires a target profit of $178,250. a. Break-even point in sales units units b. Break-even point in sales units if the company desires a target profit of $178,250 units

  • Target Profit Trailblazer Company sells a product for $270 per unit. The variable cost is $105 per unit, and fix...

    Target Profit Trailblazer Company sells a product for $270 per unit. The variable cost is $105 per unit, and fixed costs are $495,000. Determine (a) the break-even point in sales units and (b) the break-even point in sales units if the company desires a target profit of $128,700. a. Break-even point in sales units units b. Break-even point in sales units if the company desires a target profit of $128,700 units

  • Lynn Company sells one product at a price of $25 per unit. Variable expenses are 20...

    Lynn Company sells one product at a price of $25 per unit. Variable expenses are 20 % of sales, and fixed expenses are $25,000. The revenues required to achieve a target profit of $5,000 are:

  • Target Profit Trailblazer Company sells a product for $265 per unit. The variable cost is $120 per unit, and fixed costs...

    Target Profit Trailblazer Company sells a product for $265 per unit. The variable cost is $120 per unit, and fixed costs are $1,000,500. Determine (a) the break-even point in sales units and (b) the break-even point in sales units if the company desires a target profit of $350,175. a. Break-even point in sales units units b. Break-even point in sales units if the company desires a target profit of $350,175 units

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT