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2. Raleigh Company provides the following information Sales 65,000 units Sales price per unit $25 per unit Variable cost per unit $16 per unit Fixed
2. Raleigh Company provides the following information Sales 65,000 units Sales price per unit $25 per unit Variable cost per unit $16 per unit Fixed costs $314,750 Required: 1. Operating Income 2. Contribution Margin 3. Contribution Margin Ratio 4. How much would operating income change if Raleigh Company's sales increased by 10,000 units? 5. Compute the Beak Even Point in sales units and dollars 6. Determine the sales unit required for the company to achieve a target profit of $500,000
| 2. Raleigh Company provides the following information | ||||||
| Sales | 65,000 units | |||||
| Sales price per unit | $25 per unit | |||||
| Variable cost per unit | $16 per unit | |||||
| Fixed costs | $314,750 | |||||
| Required: | ||||||
| 1. Operating Income | ||||||
| 2. Contribution Margin | ||||||
| 3. Contribution Margin Ratio | ||||||
| 4. How much would operating income change if Raleigh Company's sales increased by 10,000 units? | ||||||
| 5. Compute the Beak Even Point in sales units and dollars | ||||||
| 6. Determine the sales unit required for the company to achieve a target profit of $500,000 |
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Accounting Principles Volume 2
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak
8th Canadian Edition
1119502551, 1-119-50255-5, 978-1119502555
