1. ABC company, you are given the last year net income: $80,000, income tax rate: 20%.

Find the income before tax.

2. For a manufacturing company that has a total monthly fixed costs of $100,000, variable costs per units of $10, selling price per unit $15, income tax rate of 20%, targeted net income of $10,000. Assume all other variables do not affect the cost volume profit relationship, the quantities needed to reach net income is:

3. For a manufacturing company that has a total monthly fixed costs of $100,000, variable costs per units of $10, income tax rate of 20%, targeted net income of $10,000. Assume all other variables do not affect the cost volume profit relationship, if sales in units (quantities) increase, total fixed costs in dollars

- Increase, decrease or stays the same.

4. Giving the data for XF Company:

Year: 2008 2009

Total Sales: $145k $121.4k

Cost of Good Sold: $880k $738.4k

Selling & Adm. Expenses: $92.5k $80.7k

Assume high low method is adequate in this case, the total fixed cost of goods sold is;

5.Giving the data for XF Company:

Year: 2008 2009

Total Sales: $145k $121.4k

Cost of Good Sold: $880k $738.4k

Selling & Adm. Expenses: $92.5k $80.7k

Assume high low method is adequate in this case, the variable cost of cost of goods sold is:

6. The following date pertains to GHJ Company:

Monthly fixed cost: $200,000

selling price per unit: $12

variable cost per unit: $4

income tax rate: 20%

Find the contribution margin percentage:

7. For a manufacturing company that has a total monthly fixed costs of $100,000, variable costs per units of $10, income tax rate of 20%, targeted net income of $10,000. Assume all other variables do not affect the cost volume profit relationship, if sales in units (quantities) increase, total variable costs in dollars