Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. Kalim Company has fixed costs of $150,000. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two

image text in transcribed

image text in transcribed

1. Kalim Company has fixed costs of $150,000. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products are provided below. Product Selling Price Variable Cost per Unit Contribution Margin per Unit R $40 $25 $15 S 60 50 10 The sales mix for products R and S is 40% and 60%, respectively. Determine the break-even point in units of R and S. 2. Saik Co. reports the following data: Sales $750K Variable costs $300K Fixed costs 150K Determine Saik Co.'s operating leverage. 3. Rogan Inc. has sales of $750,000, and the break-even point in sales dollars is $675,000. Determine the company's margin of safety as a percent of current sales. 4. Soft Glow Candle Co. pays 20% of its purchases on account in the month of the pur-chase and 80% in the month following the purchase. If purchases are budgeted to be $15,000 for October and $17,000 for November, what are the budgeted cash payments for purchases on account for November? 1. Kailm company nas fixed costs of $150,000. i ne unit selling price, variable cost per unit, and contribution margin per unit for the company's two products are provided below. Product Selling Price Variable Cost per Unit Contribution Margin per Unit R $40 $25 $15 S 60 50 10 The sales mix for products R and S is 40% and 60%, respectively. Determine the break-even point in units of R and S. 2. Saik Co. reports the following data: Sales $750K Variable costs $300K Fixed costs 150K Determine Saik Co.'s operating leverage. 3. Rogan Inc. has sales of $750,000, and the break-even point in sales dollars is $675,000. Determine the company's margin of safety as a percent of current sales. 4. Soft Glow Candle Co. pays 20% of its purchases on account in the month of the pur-chase and 80% in the month following the purchase. If purchases are budgeted to be $15,000 for October and $17,000 for November, what are the budgeted cash payments for purchases on account for November

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Accounting

Authors: Gail Fayerman

1st Canadian Edition

9781118774113, 1118774116, 111803791X, 978-1118037911

Students also viewed these Accounting questions