Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

14. Enterprise, Inc needs a forecast (budget) Income Statement and Cost-Volume-Profit information for December 2020. All of Enterprise's costs are mixed costs. The company sells

image text in transcribed
14. Enterprise, Inc needs a forecast (budget) Income Statement and Cost-Volume-Profit information for December 2020. All of Enterprise's costs are mixed costs. The company sells one product at a single price per unit Instructions: a) Make up your own December 2020 Budget data in the following format: Sales Revenue Budget: Sales Units 1 Sales Price per Unit Total Sales Revenge $????? ???? I $?? Mixed Cost Data (units and cost must be different on each line to receive credit): Units Produced Total Cost ??? $???? ??? $???? 22 $???? ??? S???? b) Caleulate your Variable Cost per unit and Total Fixed Cost using the High-low Method. c) Calculate your budget Net Income or Loss for December 2020 for the number of units on your Sales Revenue Budget. d) Calculate your total Contribution Margin (CM) and CM per unit. e) Calculate your Brenk-Even Sales units and Break-Even Sales Revenue (round to neares unit and $1 of Sales Revenue). Calculate the Margin of Safety percentage (ratio) at your budget Sales Revenne (round to nearest 00.0%)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Financial Accounting

Authors: Anne Britton, Chris Waterston

4th Edition

0273703609, 978-0273703600

More Books

Students also viewed these Accounting questions

Question

Do the Repo 105 arrangements constitute fraud? Why and why not?

Answered: 1 week ago

Question

What is a closure?

Answered: 1 week ago

Question

Define recruitment.

Answered: 1 week ago

Question

Identify external recruitment sources.

Answered: 1 week ago