Question

#7

A) S146,880 B) $216,000 C) $285,120 D) $432,000 5) Derst Inc. sells a particular textbook for $36. Variable expenses are $29 per book. for $36. Variable expenses are $29 per book. At the current volume 138,000 books sold per year the company is iust breaking even Given these data, the annual Dixed expenses associated with the textbook total: A)S406,000 B) $2,088,000 C) $1,682,000 D) $2,494,000 L4000 4olo 000 6) Data concerning Bedwell Enterprises Corporation's single product appear below: Selling price per unit Variable expenses per unit Fixed expense per month $ $ $ 200.00 95.50 441,890 The unit sales to attain the company's monthly target profit of $27,000 is closest to: (Do not round intermediate calculations.) 27,000+ 4711880 A) 2344 B) 4487 C) 4910 D) 4229 105 7) Memurtry Corporation sells a product for $300 per unit. The product's current sales are 14.100 units and its break-even sales are 10,293 units. The margin of safety as a percentage of sales is closest to A) 37% B) 63% C) 27% D) 73% 425,9000 3087900

Answer 1

Ain.com Guen data, selling price port = $36 vanligble expense per book : $29 . Conhibution per bool 36-29 = $7 Controbution margin (58000 * $7) = $ 406,000 At break even point, (092 Net Income is 2070 :: Met Income = contribution - pixed expenses - 0 = $406,000 - fixed Expenja .: fixed Expenses e $ 406,000 o contribution per unitz (200-95.5) = 104.5 Fixed Expense = $441,890 Target profit = $27000 Fixed Experye ut Target profita Number of units sold = Contribution por unit $441,890 + $ 27,000 104.5 = 4486.28 or) 4487 Nomber of units soldz 4487 units.

Current Sales - Brealc even saly margin of safety percentages current sales = 14100 - 10293 X100 14100 3807 - Xloo 14100 Margin of safety percentage = 27%. z = thanks