Help how to go about it QUESTION FOURJK has prepared a budget for the next 12 months when it intends to make and sell four products,details of which are shown below:ProductSales in units (thousands)Selling price per unitVariable cost perunit10K20K14.00K10K40K8.0050K4K4.20M20K10K7.00Budgeted fixed costs are K240 000 per annum and total assets employed are K570000.Required:a). produce a profit-volume graph of the above data noting the important or significant figures andpoints on the graphb). comment on useful management points which can be read from the graph.

a) Profit Volume Graph: Profits or (losses) are plotted on the Y-axis (the vertical axis) while…

JK has prepared a budget for the next 12 months when it intends to make and sell four products, details of which are shown below: Product Sales in units (thousands) Selling price per unit Variable cost per unit 10 К20 K14.00 K 10 К40 K8.00 L 50 K4 K4.20 M 20 K10 K7.00 Budgeted fixed costs are K240 000 per annum and total assets employed are K570000. Required: a). produce a profit-volume graph of the above data noting the important or significant figures and points on the graph b). comment on useful management points which can be read from the graph.

JK has prepared a budget for the next 12 months when it intends to make and sell four products, details of which are shown below: Product Sales in units (thousands) Selling price per unit Variable cost per unit 10 К20 K14.00 K 10 К40 K8.00 L 50 K4 K4.20 M 20 K10 K7.00 Budgeted fixed costs are K240 000 per annum and total assets employed are K570000. Required: a). produce a profit-volume graph of the above data noting the important or significant figures and points on the graph b). comment on useful management points which can be read from the graph.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter4: Activity-based Costing

Section: Chapter Questions

Problem 9E: Nozama.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost...

See similar textbooks

Similar questions

Each unit requires direct labor of 4.1 hours. The labor rate is $13.75 per hour and next years production is estimated at 75,000 units. What is the amount to be included in next years direct labor budget?
Use the following information for Exercises 9-50 and 9-51: Assume that Stillwater Designs produces two automotive subwoofers: S12L7 and S12L5. The S12L7 sells for 475, and the S12L5 sells for 300. Projected sales (number of speakers) for the coming 5 quarters are as follows: The vice president of sales believes that the projected sales are realistic and can be achieved by the company. Exercise 9-50 Sales Budget Refer to the information regarding Stillwater Designs above. Required: 1. Prepare a sales budget for each quarter of 20X1 and for the year in total. Show sales by product and in total for each time period. 2. CONCEPTUAL CONNECTION How will Stillwater Designs use this sales budget?
Nozama.com Inc. sells consumer electronics over the Internet. For the next period, the budgeted cost of the sales order processing activity is 250,000 and 50,000 sales orders are estimated to be processed. a. Determine the activity rate of the sales order processing activity. b. Determine the amount of sales order processing cost associated with 30,000 sales orders.
Refer to Cornerstone Exercise 8.1, through Requirement 1. FlashKick requires ending inventory of product to equal 20 percent of the next months unit sales. Beginning inventory in January was 3,100 practice soccer balls and 400 match soccer balls. Required: 1. Construct a production budget for each of the two product lines for FlashKick Company for the first three months of the coming year. 2. What if FlashKick wanted a production budget for the two product lines for the month of April? What additional information would you need to prepare this budget? FlashKick Company manufactures and sells soccer balls for teams of children in elementary and high school. FlashKicks best-selling lines are the practice ball line (durable soccer balls for training and practice) and the match ball line (high-performance soccer balls used in games). In the first four months of next year, FlashKick expects to sell the following: Required: 1. Construct a sales budget for FlashKick for the first three months of the coming year. Show total sales for each product line by month and in total for the first quarter. 2. What if FlashKick added a third linetournament quality soccer balls that were expected to take 40 percent of the units sold of the match balls and would have a selling price of 45 each in January and February, and 48 each in March? Prepare a sales budget for Flash- Kick for the first three months of the coming year. Show total sales for each product line by month and in total for the first quarter.
The Management Accountant of Kafululu Plc has prepared the following budget information for theyear ending 31st December 2022 for product A. Annual Fixed Costs K270,000.00 Variable costs per unit K90.00 Contribution to sales ratio(C/S) 75% Annual budget units 1,500 Required:a) Calculate the contribution per unit for Product A. b) Calculate the Unit Selling Price for Product A. c) Calculate the Break Even Point for Product A. d) Calculate the margin of safety in Units and in percentage terms. e) If the Selling Price per Unit is reduced by 10%, variable cost per Unit is increased to K100.00and Fixed costs remain unchanged, calculate:i. The new Breakeven Point. ii. The total units that should be sold in order to make a profit of K450,000 in 2020.(
Arden Ltd tentative budget for product TYL for 2019 is shown below: Sales (2500 units at £40 a unit Manufacturing cost of goods sold 100,000 Direct labour 15,000 Direct materials 14,000 Variable factors overhead 10,000 Fixed factors overheard 5000 44,000 Gross profit 56,000 Selling express Variable 6000 Fixed 10,000 Administrative expenses Variable 5,000 Fixed 10,000 31,000 Operating income 25,0000 Required: (a). How many units of product TYL would have to be sold to break-even.] (b). What would be operating income if projected sales increased by 30%.
The following are selected budgeted data for Green Company for the coming year: Budgeted sales ₱600,000 Selling price per unit ₱12 Fixed expenses ₱150,000 Variable cost per unit ₱8 What is the breakeven point in units? Show solution Group of answer choices 018,750 012,500 150,000 037,500
The following information is budgeted for Hana Sdn Bhd (HSB) for second quarter next year: April May June Sales RM10,000 RM30,000 RM40,000 Purchase of materials RM50,000 RM30,000 RM20,000 Rental expenses RM5,000 RM5,000 RM5,000 Fixed overhead RM40,000 RM40,000 RM40,000 Variable overhead RM2,000 RM5,000 RM5,000 Receipt- sales of used equipment - RM55,000 - Additional information: All sales at HSB are on credit. Past experience indicates that 80% of sales will be collected in the month of sale and the remaining 20% will be collected in the following month. HSB…
K Base Machinery showed the following operating budget for the next year. Complete parts (a) through (d) below Each scenario is independent Sales $2,400,000 Fixed cost Total variable cost Total cost Net income $1,200,000 760,000 1,960,000 $440,000 (a) Calculate the contribution margin and contribution rate. The contribution margin is $ (Round to the nearest dollar as needed.) ma
The following information was extracted from the budget for the month ended 31 August 2022: Sales 10 000 units at R200 per unit Direct materials cost per unit R50 Direct labour cost per unit R34 Variable manufacturing overhead costs per unit R24 Variable selling costs per unit R12 Fixed manufacturing overhead cost R230 000 Fixed selling and administrative costs R170 000 3.1 The total Marginal Income and Net Profit/Loss if all 10 000 units are sold. 3.2 Break even value by using the marginal income ratio 3.3 Margin of safety (in units) 3.4 The sales volume required to earn a net profit of R560 000 3.5 The total Marginal Income and Net Profit/Loss if all the manufacturing costs increase by 10%.
Company A sells three products: B, C, and D. Budgeted information for the upcoming accounting period follows.Product Sales Volume (Units) Selling Price Variable CostB 16,000 ₱14 ₱9C 12,000 10 6D 52,000 11 8The company's weighted-average unit contribution margin is:
Accounting Please solve it ASAP with all requirements Q.7. Toews Ltd has prepared the following flexible budget for the coming year. The Budgeted level of activity is 7,500 units. £ Sales 250,000 Direct material 75,000 Direct labour 60,000 Variable overheads 30,000 Fixed overheads 45,000 Profit 22,500 lf the budget is flexed to a level of activity of 10,000 units, what would the total budgeted cost be? a) £280,000 b) £265,000 c) £123,750 d) £168,750