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Sales | 767,340 | |
Variable costs | 537,138 | |
Contribution Margin | 230,202 | |
Fixed costs | 309,000 | |
Operating income | (78,798) | |
Contribution Margin per unit | Current | |
Selling price per unit | 37.80 | |
Variable cost per unit | 26.46 | |
Contribution Margin per unit | 11.34 | |
Contribution Margin/Sales = Contribution Margin ratio | ||
30.00% | ||
Fixed costs/Contribution margin ratio = Break even point in Dollar Sales | ||
1,030,000.00 | ||
Contribution Margin per unit | Proposed | |
Selling price per unit | 37.80 | |
Variable cost per unit | 13.23 | |
Contribution Margin per unit | 24.57 | |
Contribution Margin/Sales = Contribution Margin ratio | ||
65.00% | ||
Fixed costs/Contribution margin ratio = Break even point in Dollar Sales | ||
710,769.23 | ||
Forecasted Income Statement | ||
Sales | 767,340 | |
Variable costs | 268,569 | |
Contribution Margin | 498,771 | |
Fixed costs | 462,000 | |
Operating income | 36,771 | |
(Target Income + Fixed costs)/Contribution Margin Ratio = Sales Dollars Required | ||
1,064,615.38 | ||
(Target Income + Fixed costs)/Contribution Margin per unit = Sales units Required | ||
28,164.43 | units | |
Forecasted Income Statement | ||
per unit | ||
Sales | 37.80 | 1,064,615 |
Variable costs | 13.23 | 372,615 |
Contribution Margin | 24.57 | 692,000 |
Fixed costs | 462,000 | |
Operating income | 230,000 |
Need help with this accounting problem please. Required information Problem 21-4A Break-even analysis; income targeting and...
Required information Problem 18-4A Break-even analysis; income targeting and forecasting LO C2, P2, A1 [The following information applies to the questions displayed below) Astro Co. sold 19,200 units of its only product and incurred a $43.072 loss ignoring taxes) for the current year as shown here. During a planning session for year 2018's activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates several operations. To obtain these savings, the company must...
Required information Problem 21-4A Break-even analysis; income targeting and forecasting LO C2, P2, A1 (The following information applies to the questions displayed below.) Astro Co. sold 19,600 units of its only product and incurred a $46,568 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2018's activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates several operations. To obtain these savings, the company must...
Problem 18-4A Break-even analysis; income targeting and forecasting LO C2, P2, A1 [The following information applies to the questions displayed below.] Astro Co. sold 19,400 units of its only product and incurred a $44,828 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2018’s activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates several operations. To obtain these savings, the company must increase its...
Ch 18 Homework 6 Part of Required Information Problem 18.4A Break even analysis; income targeting and forecasting LO C2, P2, A1 (The following information applies to the questions displayed below) 166 points Astro Co. sold 20.000 units of its only product and incurred a $50,000 loss (Ignoring taxes) for the current year as shown here. During a planning session for year 2018's activities, the production manager notes that variable costs can be reduced 50% by Installing a machine that automates...
Required information Problem 21-4A Break-even analysis; income targeting and forecasting LO C2, P2, A1 (The following information applies to the questions displayed below.) Astro Co. sold 19,600 units of its only product and incurred a $46,568 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2018's activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates several operations. To obtain these savings, the company must...
Saved Help Save 1 0 2 of 4 Required information Problem 18-4A Break-even analysis; income targeting and forecasting LO C2, P2, A1 [The following information applies to the questions displayed below.) 3 Astro Co. sold 20,300 units of its only product and incurred a $78,798 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2018's activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates...
Required information Problem 18-4A Break-even analysis; income targeting and forecasting LO C2, P2, A1 [The following information applies to the questions displayed below.) Astro Co. sold 20,300 units of its only product and incurred a $78,798 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2018's activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates several operations. To obtain these savings, the company must...
Required information Problem 18-4A Break-even analysis; income targeting and forecasting LO C2, P2, A1 The following information applies to the questions displayed below. Astro Co. sold 19,300 units of its only product and incurred a $54.940 loss ignoring taxes) for the current year as shown here. During a planning session for year 2020's activities, the production manager notes that variable costs can be reduced 40% by installing a machine that automates several operations. To obtain these savings, the company must...
Problem 18-4A Break-even analysis, income targeting and forecasting LO C2, P2, A1 The following information applies to the questions displayed below. Astro Co. sold 20,000 units of its only product and incurred a $50,000 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2018's activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates several operations. To obtain these savings, the company must increase its...
Problem 18-4A Break-even analysis: income targeting and forecasting LO C2. P2. A1 The following information applies to the questions displayed below. Astro Co. sold 19,300 units of its only product and incurred a $54,940 loss fignoring taxes) for the current year as shown here. During a planning session for year 2020's activities, the production manager notes that variable costs can be reduced 40% by installing a machine that automates several operations. To obtain these savings, the company must increase its...