Cedar Mills Incorporated desires an operating income of $72,000. Its variable expenses are $20,000 and its total fixed expenses have increased from $32,000 to $60,000. Its unit contribution margin is $10. Its sales in units to achieve the target profit is
A. 15,200. B. 11,200 .C. 1,200. D. 13,200.
Sales in Units to Achieve target profit = Contribution margin required / Contribution margin per unit
= ( Desired operating income + fixed cost) / $ 10
= ($72,000 + $ 60,000) / $ 10
= 13,200
Hence the correct answer is D. 13,200
Cedar Mills Incorporated desires an operating income of $72,000. Its variable expenses are $20,000 and its...
Poplar Mills Incorporated desires an operating income of $67,000. Its variable expenses are $21,000 and its total fixed expenses have increased from $45,000 to $56,000. Its unit contribution margin is $15. Its sales in units to achieve the target profit is O A. 6,800 OB. 733 O C. 9,600. OD. 8,200.
Poplar Mills Incorporated has a predicted operating income of $74,000. Its total variable expenses are $17,000 and its total fixed expenses are $13,500. It has a unit contribution margin of $5. Poplar Mills' breakeven sales in units is 20,900 units. 12,100 units. 2700 units. 14,100 units.
Martin Enterprises has a predicted operating income of $100,000. Its total variable expenses are $60,000 and its total fixed expenses have doubled from $21,000 to $42,000. The unit contribution margin for the company's sole product is $19. The number of units that Martin Enterprises needs to sell to achieve the predicted operating income would be (Round the final answer up to the nearest unit.) O A. 7,474. O B. 3,053. O C. 10,632. OD. 4,316.
Assignment Exercise 18–3: Target Operating Income Acme Medical Supply Company desires a target operating income amount of $100,000, with assumption inputs as follows: Desired (target) operating income amount = $100,000 Unit price for sales = $80 Variable cost per unit = $60 Total fixed cost = $60,000 Compute the required revenue to achieve the target operating income and compute a contribution income statement to prove the totals.
Martin Enterprises has a predicted operating income of $100,000. Its total variable expenses are $45,000 and its total fixed expenses have doubled from $23,000 to $46,000. The unit contribution margin for the company's sole product is $15. The number of units that Martin Enterprises needs to sell to achieve the predicted operating income would be 6734. 12,734. 3600. 9734.
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7 Sales Variable expenses Contribution margin Fixed expenses Net operating income Total $ 310,000 217,000 93,000 75,000 $ 18,000 Per Unit $20 14 $ 6 25 oints eBook Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3-a. How many units would have to be sold each month to attain a target profit of $34,200? 3-b. Verify your answer...
QUESTION 1 Responsibility accounting is a system in which a manager is held responsible for those items of revenues and costs-and only those items-that the manager can control to a significant extent. O True O False QUESTION 2 The sales volume in units that are needed to achieve a specific Target Profit can be calculated by Dividing the dollars of fixed costs by the unit contribution margin Dividing the dollars of fixed costs and target profit by the unit contribution...
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