02:27 Q il 90% Mangement AccountingTextbook course workque unit sold in excess of the break-even point w W 18,000 units were sold? Refer to the original data. 2-42 Exercises in Cost-Volume-Profit Relationships The MacKenzie Hawkins Transportation Company specializes in hauling heavy goods over long distances. The company's revenues and expenses depend on revenue miles, a measure that combines both weights and mileage. Summarized budget data for next year are based on predicted total revenue miles of 800,000. Per Revenue Mile $1.50 1.30 Average selling price (revenue) Average variable expenses Fixed expenses. $110,000 quired 1. Compute the budgeted net income. Ignore income taxes. 2. Management is trying to decide how various possible conditions or decisions might affect net income, Compute the new net income for each of the following changes Consider cach case independently, a. A 10% increase in revenue miles b. A 10% increase in sales price c. A 10% increase in variable expenses d. A 10% increase in fixed expenses e, An average decrease in selling price of 3e per mile and a 5% increase in revenue miles. Refer to the original data f. An average increase in selling price of 5% and a 10% decrease in revenue miles g. A 10% increase in fixed expenses in the form of more advertising and a 5% increase in revenue miles 2-B1 Basic CVP Exercises Each problem is unrelated to the others. 1. Given: Selling price per unit, $20 total fixed expenses. $5,000: variable expenses per unit. $15. Find break-even sales in units. 2. Given: Sales, $40,000; variable expenses, $30,000; fixed expenses, $7,500 income, $2,500. Find break-even sales. Chapter 2 Introduction to Cost Behavior and Cost Volume Relationships 3. Given Selling price per unit, $30, total ined expenses. $31.000: variable expenses per unit. 514. Find total sales in units to achieve a profit of $7.000, assuming to change Selling price, 4. Given Sale $50,000: variable expenses. $20,000 fixed expenses. $20,000, net income, 510,000. Assume no change in selling price find net income if activity vol. ume increases 10% 5. Given: Selling price per un total fixed expenses, $80,000: variable expenses per unit $30. Assume that variable enses are reduced by 20% per unit, and the of $assuming Zelling price 2-B2 Basie CVP Analysis Peter Landis opened his own small day care facility. Toys N Tots (TNT), just over 2 years ago. After a rocky start, TNT has been thriving. Peter is now preparing a budget for November 19X. 320,000m2 of 17 Find the sales in units to wchieve a profit