The price per unit is $120 for KPL Manufacturing Company, its variable cost per unit is...
The price per unit is $120 for KPL Manufacturing Company, its variable cost per unit is $80, and its fixed costs are $4,000. What is the breakeven point in units using the equation method?
A. 80 B. 60 C. 40 D. 100
Homework Answers
Add Answer to:
The price per unit is $120 for KPL Manufacturing Company, its variable cost per unit is...
Problem 11-4 NYM Manufacturing Company makes a product. Selling Price per unit Variable manufacturing cost per unit Variable selling expense per unit (sales commissions) Annual Fixed Manufacturing Co...
Problem 11-4 NYM Manufacturing Company makes a product. Selling Price per unit Variable manufacturing cost per unit Variable selling expense per unit (sales commissions) Annual Fixed Manufacturing Costs Annual Fixed Selling and Admin Costs 150 80 25 40,000 s 60,000 REQUIRED Determine the break-even point in units and dollars using the following approaches. 1 Equation method 2 Contribution margin per unit. 3 Contribution margin ratio. 4 Confirm your results by preparing a contribution margin income statement for the breakeven sales...
2. The Poncho Company sells ponchos at $60 each. The variable cost per unit is 50%...
2. The Poncho Company sells ponchos at $60 each. The variable cost per unit is 50% of the sales price and the total fixed costs are $300,000. During the summer, the Poncho Company renovated its factory. As a result, its total fixed costs increased by another $96,000 and variable costs decreased to 40% of the sales price. Determine the breakeven point in units and dollars before and after the renovation, using the contribution margin technique. Units Dollars Breakeven before modernization:...
$170 per unit. The company incurs variable manufacturing costs of $83 per unit. Variable selling expenses...
$170 per unit. The company incurs variable manufacturing costs of $83 per unit. Variable selling expenses are $19 per unit, annual fixed manufacturing costs are $498.000, and fixed selling and administrative costs are $236.400 per year. Required Determine the break-even point in units and dollars using each of the following approaches: a. Use the equation method. b. Use the contribution margin per unit approach. c. Prepare a contribution margin income statement for the break-even sales volume. Complete this question by...
2. Data: Selling price = $50, variable cost per unit = $30, total fixed costs =...
2. Data: Selling price = $50, variable cost per unit = $30, total fixed costs = $400,000, and target profit = $100,000. a. Calculate the breakeven point in units using the equation method. b. Calculate the breakeven point in units using the formula method. c. Calculate the sales in units needed to earn the target profit. d. Calculate the total sales dollars needed to earn the target profit. Show all calculations,
4. When the selling price per unit and variable costs per unit remain constant, if total...
4. When the selling price per unit and variable costs per unit remain constant, if total fixed costs decrease, which of the following statements is true? A. Breakeven point in units increases. C. Breakeven point in units decreases B. Contribution margin decreases. D. Contribution margin increases. lace Furniture sells two products, tables and chairs. A table sells for $80 per unit riable costs of $25 per unit. A chair sells for $60 per unit with variable costs of Total fixed...
76. A firm selling three products has the following data: Unit Unit Variable Product Sales Mix...
76. A firm selling three products has the following data: Unit Unit Variable Product Sales Mix Price Cost 60,000 units $40 S20 40,000 units 60 30 20,000 units 30 5 If the firm can change the sales mix from 60,000 P, 40,000 Q, and 20,000 R to 60,000 P, 20,000 Q, and 40,000 R, pre-tax income will be a) Lower b) Higher c) Unchanged d) Cannot be determined Answer: a Difficulty: Medium Learning Objective: Apply CVP calculations for multiple products....
Michael Company has fixed costs of $814,880. The unit selling price, variable cost per unit, and...
Michael Company has fixed costs of $814,880. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow: Product Selling Price Variable Cost per Unit Contribution Margin per Unit QQ $740 $480 $260 ZZ 560 440 120 The sales mix for Products QQ and ZZ is 40% and 60%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round your answers to the nearest whole number. a. Product...
Variable and Absorption Costing Chandler Company sells its product for $100 per unit. Variable manufacturing costs...
Variable and Absorption Costing Chandler Company sells its product for $100 per unit. Variable manufacturing costs per unit are $40, and fixed manufacturing costs at the normal operating level of 10,000 units are $240,000. Variable selling expenses are $16 per unit sold. Fixed administrative expenses total $104,000. Chandler had no beginning inventory in 2019. During 2019, the company produced 10,000 units and sold 8,000. Would net income for Chandler Company in 2019 be higher if calculated using variable costing or...
Ritchie Manufacturing Company makes a product that it sells for $160 per unit. The company incurs variable manufacturin...
Ritchie Manufacturing Company makes a product that it sells for $160 per unit. The company incurs variable manufacturing costs of $73 per unit. Variable selling expenses are $15 per unit, annual fixed manufacturing costs are $490,000, and fixed selling and administrative costs are $258,800 per year. Required Determine the break-even point in units and dollars using each of the following approaches: a. Use the equation method. b. Use the contribution margin per unit approach c. Prepare a contribution margin income...
Sales price per unit Variable manufacturing cost per unit Variable sales commissions per unit Variable shipping...
Sales price per unit Variable manufacturing cost per unit Variable sales commissions per unit Variable shipping expense per unit Fixed administrative cost per unit Other fixed costs per unit Average production $44.95 $17.03 $ 3.20 $ 1.14 $ 5.77 $ 1.12 2,100 units per month If Fireware makes 2,500 units, total fixed cost would be? a $6.89 b. $17,225 c. $11,133 d. $14,469 How many units must be sold in order to break even? (round to the nearest whole unit)...
Problem 11-4 NYM Manufacturing Company makes a product. Selling Price per unit Variable manufacturing cost per unit Variable selling expense per unit (sales commissions) Annual Fixed Manufacturing Costs Annual Fixed Selling and Admin Costs 150 80 25 40,000 s 60,000 REQUIRED Determine the break-even point in units and dollars using the following approaches. 1 Equation method 2 Contribution margin per unit. 3 Contribution margin ratio. 4 Confirm your results by preparing a contribution margin income statement for the breakeven sales...
2. The Poncho Company sells ponchos at $60 each. The variable cost per unit is 50% of the sales price and the total fixed costs are $300,000. During the summer, the Poncho Company renovated its factory. As a result, its total fixed costs increased by another $96,000 and variable costs decreased to 40% of the sales price. Determine the breakeven point in units and dollars before and after the renovation, using the contribution margin technique. Units Dollars Breakeven before modernization:...
$170 per unit. The company incurs variable manufacturing costs of $83 per unit. Variable selling expenses are $19 per unit, annual fixed manufacturing costs are $498.000, and fixed selling and administrative costs are $236.400 per year. Required Determine the break-even point in units and dollars using each of the following approaches: a. Use the equation method. b. Use the contribution margin per unit approach. c. Prepare a contribution margin income statement for the break-even sales volume. Complete this question by...
2. Data: Selling price = $50, variable cost per unit = $30, total fixed costs = $400,000, and target profit = $100,000. a. Calculate the breakeven point in units using the equation method. b. Calculate the breakeven point in units using the formula method. c. Calculate the sales in units needed to earn the target profit. d. Calculate the total sales dollars needed to earn the target profit. Show all calculations,
4. When the selling price per unit and variable costs per unit remain constant, if total fixed costs decrease, which of the following statements is true? A. Breakeven point in units increases. C. Breakeven point in units decreases B. Contribution margin decreases. D. Contribution margin increases. lace Furniture sells two products, tables and chairs. A table sells for $80 per unit riable costs of $25 per unit. A chair sells for $60 per unit with variable costs of Total fixed...
76. A firm selling three products has the following data: Unit Unit Variable Product Sales Mix Price Cost 60,000 units $40 S20 40,000 units 60 30 20,000 units 30 5 If the firm can change the sales mix from 60,000 P, 40,000 Q, and 20,000 R to 60,000 P, 20,000 Q, and 40,000 R, pre-tax income will be a) Lower b) Higher c) Unchanged d) Cannot be determined Answer: a Difficulty: Medium Learning Objective: Apply CVP calculations for multiple products....
Variable and Absorption Costing Chandler Company sells its product for $100 per unit. Variable manufacturing costs per unit are $40, and fixed manufacturing costs at the normal operating level of 10,000 units are $240,000. Variable selling expenses are $16 per unit sold. Fixed administrative expenses total $104,000. Chandler had no beginning inventory in 2019. During 2019, the company produced 10,000 units and sold 8,000. Would net income for Chandler Company in 2019 be higher if calculated using variable costing or...
Ritchie Manufacturing Company makes a product that it sells for $160 per unit. The company incurs variable manufacturing costs of $73 per unit. Variable selling expenses are $15 per unit, annual fixed manufacturing costs are $490,000, and fixed selling and administrative costs are $258,800 per year. Required Determine the break-even point in units and dollars using each of the following approaches: a. Use the equation method. b. Use the contribution margin per unit approach c. Prepare a contribution margin income...
Sales price per unit Variable manufacturing cost per unit Variable sales commissions per unit Variable shipping expense per unit Fixed administrative cost per unit Other fixed costs per unit Average production $44.95 $17.03 $ 3.20 $ 1.14 $ 5.77 $ 1.12 2,100 units per month If Fireware makes 2,500 units, total fixed cost would be? a $6.89 b. $17,225 c. $11,133 d. $14,469 How many units must be sold in order to break even? (round to the nearest whole unit)...
Most questions answered within 3 hours.
-
a student was diagnosed with myopia (nearshightedness). He can
comfortably read a newspaper when it is...
asked 17 minutes ago -
What is the significance of the constraints in a physical model?
What part do distinct constraints...
asked 36 minutes ago -
Consider a 3m x 3m window in a house. The thermal conductivity
is reported to be...
asked 53 minutes ago -
Why has California been the favorite destination of large number
of secondary migrants?
asked 1 hour ago -
Do not neglect the old for the new. The existing business must
not lose priority simply...
asked 4 hours ago -
Kylie is a single mom with two dependent children,
Tanner, age 7 and Olivia, age 11....
asked 5 hours ago -
Phosphorous + bromine = phosphorous tribromide. If 35.0 g of
bromine are reacted and 27.9 grams...
asked 7 hours ago -
Derive the long wavelength limit of the Planck energy density
distribution
asked 7 hours ago -
Calculate the pH of each of the following solutions.
0.50 M HBr
3.1×10−4 M KOH
4.2×10−5...
asked 10 hours ago -
For the year ended December 31, Depot Max’s cost of merchandise
sold was $85,600. Inventory at the...
asked 10 hours ago -
Week 10 - Professional Memo Assignment
Professional Memo Assignment
Your mission for this week, should you...
asked 10 hours ago -
Write a Python program that stores the data for each
player on the team, and it...
asked 10 hours ago