Moyas Corporation sells a single product for $20 per unit. Last year, the company's sales revenue was $255,000 and its net operating income was $69,000. If fixed expenses totaled $84,000 for the year, the break-even point in unit sales was:
Q: porated's contribution margin ratio is 61% and its fixed monthly expenses are $45,500. Assuming that…
A: Net operating income refers to the concept of evaluating the expected sum of money arising out of an…
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A: Net operating Income= (Sales- Variable cost)-Fixed expenses = Contribution- Fixed expenses…
Q: The third In 2020, Al-Nawras Company sold 1,200,000 units of its product at a selling price of 32…
A: Solution :- Old contribution per unit = 32 -22 = $10 per unit Old total contribution = 1,200,000 x…
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A: Formula: Break even point in Sales dollars = Break even point in units x sales price per unit
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A: The degree of operating leverage (DOL) is calculated as ratio of contribution and operating income
Q: Your Company's single product has a selling price of $15 per unit. Last year the company variable…
A: Given information, Selling price=$15 per unit Variable cost= $9 per unit Fixed expenses =$90,000 Net…
Q: Your Corporation's fixed monthly expenses are $18,500 and its contribution margin ratio is 62%.…
A: Contribution margin is calculated as excess of sales price over variable expenses. Net income is…
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A: Formula: Margin of safety in Dollars = Current sales - Break even sales Deduction of Break even…
Q: East Mullett Manufacturing earned operating income last year as shown in the following income…
A: Average operating assets = (beginning operating assets + ending operating assets ) / 2 Residual…
Q: Moyas Corporation sells a single product for $20 per unit. Last year, the company's sales revenue…
A: Formula: Break even point in units = Fixed cost / Unit contribution margin. Division of unit…
Q: Jilk Inc's contribution margin ratio is 619% and its fixed monthly expenses are $47,500. Assuming…
A: Formula : Net operating income = Contribution margin - Fixed expenses Deduction of fixed expenses…
Q: A firm operated at 90% of capacity for the past year, during which fixed costs were $420,000,…
A: Operating profit can be defined as the profit that is earned from the day-to-day operations.
Q: arukh Corporation sells a single product for Rs. 15 per unit. Last year, the company's sales revenue…
A: Break-even analysis is a technique widely used by the production department. It helps to determine…
Q: A company sells a single product for $15 per unit. Last year, the company's sales revenue was $223k…
A: Break even point is a situation where a firm has it sales revenue equals to its cost of sales. This…
Q: KR Corporation's break-even-point in sales is Rs. 900,000, and its variable expenses are 75% of…
A: Contribution margin ratio = 1 - variable expense ratio= 1 - 0.75= 0.25
Q: Creswell Corporation's fixed monthly expenses are $29,000 and its contribution margin ratio is 56%.…
A: Formula: Net operating income = Contribution margin - Fixed expenses
Q: Sabv Corporation's break-even-point in sales is $820,000, and its variable expenses are 80% of…
A:
Q: For the coming year, Cleves Company anticipates a unit selling price of $100, a unit variable cost…
A: Step 1: Workings
Q: Jonick Company has sales of $460,000, and the break-even point in sales dollars is $372,600.…
A: Sales $4,60,000 Break-even point in sales dollars $3,72,600 Margin of Safety $ (Sales in dollar…
Q: Last month Bryn Company had a $45,057 profit on sales of $296,632. Fixed costs are $72,308 a month.…
A: Contribution Margin = Fixed Costs + Net Income. Contribution Margin Ratio = (Fixed Costs + Net…
Q: A firm operated at 80% of capacity for the past year, during which fixed costs were $190,000,…
A: Operating profit: Operating profits are the profits earned out of the core business operation. Any…
Q: Sheeza Corporation sells a single product for Rs. 15 per unit. Last year, the company's sales…
A: Fixed cost means the cost which do not vary with the level of output where as variable cost will…
Q: oyas Corporation sells a single product for $10 per unit. Last year, the company's sales revenue was…
A: Break-Even point in Units = Fixed cost/Contribution margin per unit
Q: Last year, a company reported sales of $715.5k, a contribution margin ratio of 39.25% and a net loss…
A: Break even point means a point where firm is neither earning profit nor incurring any loss. For…
Q: Calculate the number of units the company needs to sell in order to break even. The company sells…
A:
Q: Quick Inc. has sales of $36,400,000, and the break-even point in sales dollars is $24,024,000.…
A: Margin of safety = Total sales - Break even sales = $36,400,000 - $24,024,000 = $12,376,000
Q: For the past year, Pedi Company had fixed costs of $70,000, unit variable costs of $32, and a unit…
A: Fixed cost = $ 70,000 Selling price = $ 40 Variable cost = $ 32 Contribution per unit = Selling…
Q: Sabv Corporation's break-even-point in sales is $920,000, and its variable expenses are 70% of…
A: Break-even Point The break-even point (BEP) of sales is calculated as the sales revenue at which…
Q: Farhan Corporation fixed monthly fixed expenses are Rs. 370,000 and its contribution margin ratio is…
A:
Q: Farukh Corporation sells a single product for Rs. 15 per unit. Last year, the company's sales…
A: No. of units sold = Total sales / Sales price per unit = Rs. 225,000 / Rs. 15 per unit = 15,000…
Q: A company sold 105,000 units of product last year. The contribution margin per unit was ₱6, and…
A: Last year Sold units 105,000 Contribution per unit 6.00…
Q: Monfett Manufacturing earned operating income last year as shown in the following income statement:…
A: Average operating assets = (beginning operating assets + ending operating assets) / 2 =…
Q: Canoncito Co. produced and sold 6,000 units for $12 per unit. The variable cost was $3 per unit, and…
A: BREAK-EVEN POINT:-Break-even point can be calculated by dividing the total fixed cost of…
Q: Last month, Laredo Company sold 450 units for $25 each. During the month, fixed costs were S2,520…
A: Cost-volume-profit analysis is a technique that is used to determine the impact of costs and sales…
Q: In 2020, Al-Nawras Company sold 1,200,000 units of its product at a selling price of 32 dollars per…
A: The contribution margin per unit is calculated as difference between selling price and variable cost…
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A: Current Year Income Statement and Forecasted Income Statement is Given Below,
Q: The Rachel Company has sales of $450,000, and the break-even point in sales dollars is $292,500.…
A: Break-even analysis is a technique widely used by the production department. It helps to determine…
Q: Milotic Corporation sells a single product for ₱25 per unit. Last year, the company's sales revenue…
A: Break even point means a point where firm is neither earning profit nor incurring any loss.…
Q: Solen Corporation's break-even-point in sales is $850,000, and its variable expenses are 80% of…
A: Formula used : Sales value = Contribution margin / ( 100 - variable expenses % )
Q: Dean Company has sales of $76,000, and the break-even point in sales dollars is $47,120. Determine…
A: The margin of safety is calculated as sales above break even sales.
Q: A company sold 25,000 units of product last year. The contribution margin per unit was ₱2, and fixed…
A: Profit earned in last year = Number of units sold * Contribution margin per unit - Fixed expenses =…
Q: Bohol, Inc., is subject to a 40% income tax rate. The following data pertain to the period just…
A: After Tax Profit = Sales - Variable Cost - Fixed Cost - Income Tax
Q: Adams Company sells a single product. The product sells for $100 per unit. The company’s variable…
A: Adams Company sells a single product. The product sells for $100 per unit. The company’s variable…
Q: Data for Hermann Corporation are shown below: Per Unit Percent of Sales Selling price $ 95…
A: Break-even analysis is a technique widely used by the production department. It helps to determine…
Q: For the most recent quarter, Baffle company had an after-tax profit of $62,720 from sales of 225,000…
A: Given: Sales Less: Variable cost (60% of Sales) Contribution margin (40% of…
Q: Jovovich Corporation produced and sold 80,000 units and reported sales of $4,000,000 during the past…
A: Solution: Contribution margin = Sales - variable costs = 4000000 - 2800000 = $1,200,000
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- Starling Co. manufactures one product with a selling price of 18 and variable cost of 12. Starlings total annual fixed costs are 38,400. If operating income last year was 28,800, what was the number of units Starling sold? a. 4,800 b. 6,400 c. 5,600 d. 11,200Faldo Company produces a single product. The projected income statement for the coming year, based on sales of 200,000 units, is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. Suppose that 30,000 units are sold above the break-even point. What is the profit? 2. Compute the contribution margin ratio and the break-even point in dollars. Suppose that revenues are 200,000 greater than expected. What would the total profit be? 3. Compute the margin of safety in sales revenue. 4. Compute the operating leverage. Compute the new profit level if sales are 20 percent higher than expected. 5. How many units must be sold to earn a profit equal to 10 percent of sales? 6. Assume the income tax rate is 40 percent. How many units must be sold to earn an after-tax profit of 180,000?Cadre, Inc., sells a single product with a selling price of $120 and variable costs per unit of $90. The companys monthly fixed expenses are $180,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of October when they will sell 10,000 units. How many units will Cadre need to sell in order to realize a target profit of $300,000? What dollar sales will Cadre need to generate in order to realize a target profit of $300,000? Construct a contribution margin income statement for the month of August that reflects $2,400,000 in sales revenue for Cadre, Inc.
- Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of $30. The companys monthly fixed expenses are $22,500. What is the companys break-even point in units? What is the companys break-even point in dollars? Construct a contribution margin income statement for the month of September when they will sell 900 units. How many units will Maple need to sell in order to reach a target profit of $45,000? What dollar sales will Maple need in order to reach a target profit of $45,000? Construct a contribution margin income statement for Maple that reflects $150,000 in sales volume.Klamath Company produces a single product. The projected income statement for the coming year is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. 2. Suppose 10,000 units are sold above break-even. What is the operating income? 3. Compute the contribution margin ratio. Use the contribution margin ratio to compute the break-even point in sales revenue. (Note: Round the contribution margin ratio to four decimal places, and round the sales revenue to the nearest dollar.) Suppose that revenues are 200,000 more than expected for the coming year. What would the total operating income be?A company produces two products. E and F in batches of 100 units. The production and cost data are: The company can only perform 12,000 set-ups each period yet there is unlimited demand for each product. What is the differential profit from producing product E instead of product F for the year? A. $216,000 B. $204,000 C. $12,000 D. $54,000
- West Island distributes a single product. The companys sales and expenses for the month of June are shown. Using the information presented, answer these questions: A. What is the break-even point in units sold and dollar sales? B. What is the total contribution margin at the break-even point? C. If West Island wants to earn a profit of $21,000, how many units would they have to sell? D. Prepare a contribution margin income statement that reflects sales necessary to achieve the target profit.Marlin Motors sells a single product with a selling price of $400 with variable costs per unit of $160. The companys monthly fixed expenses are $36,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of November when they will sell 130 units. How many units will Marlin need to sell in order to realize a target profit of $48,000? What dollar sales will Marlin need to generate in order to realize a target profit of $48.000? Construct a contribution margin income statement for the month of February that reflects $200,000 in sales revenue for Marlin Motors.Kerr Manufacturing sells a single product with a selling price of $600 with variable costs per unit of $360. The companys monthly fixed expenses are $72,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of January when they will sell 500 units. How many units will Kerr need to sell in order to realize a target profit of $120,000? What dollar sales will Kerr need to generate in order to realize a target profit of $120,000? Construct a contribution margin income statement for the month of June that reflects $600,000 in sales revenue for Kerr Manufacturing.
- Olivian Company wants to earn 420,000 in net (after-tax) income next year. Its product is priced at 275 per unit. Product costs include: Variable selling expense is 14 per unit; fixed selling and administrative expense totals 290,000. Olivian has a tax rate of 40 percent. Required: 1. Calculate the before-tax profit needed to achieve an after-tax target of 420,000. 2. Calculate the number of units that will yield operating income calculated in Requirement 1 above. (Round to the nearest unit.) 3. Prepare an income statement for Olivian Company for the coming year based on the number of units computed in Requirement 2. 4. What if Olivian had a 35 percent tax rate? Would the units sold to reach a 420,000 target net income be higher or lower than the units calculated in Requirement 3? Calculate the number of units needed at the new tax rate. (Round dollar amounts to the nearest dollar and unit amounts to the nearest unit.)The following information pertain to questions 10 through 13. Hoopie Company sells a single product. The company’s sales and expenses for the recent month follow:Total Per unitSales P600,000 P40Less: Variable expenses 420,000_ 28_Contribution margin 180,000 P12Less: Fixed expenses 150,00__Net operating income P30,00010. What is the monthly break-even point in units sold?a. 12, 000 units b. 12,500 units c. 15,200 units d. 11,000 unitsoyas Corporation sells a single product for $10 per unit. Last year, the company's sales revenue was $280,000 and its net operating income was $17,000. If ed expenses totaled $95,000 for the year, the break-even point in unit sales was: Multiple Cholce 28,000 units
