Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

20 1. Calculate the break-even point in units if current volumes are al 88000 2. Calculate the BEP in dollars using the CMR (Contribution Margin

image text in transcribed
image text in transcribed
image text in transcribed
20 1. Calculate the break-even point in units if current volumes are al 88000 2. Calculate the BEP in dollars using the CMR (Contribution Margin Ratio 3. Calculate the MOS Margin of Safety using Actual sales of $990,000 4. Calculate the sales required in dollars to an Operating income of $565.000 5. Assume a 20% Increase in selling price and cost price per unit what will be the new Not proti 6. The Company has a new social media parter who will promote the company products on Amazon but will take 25 of professores commission Chew HP 7. Raw material prices are on an increase and CPU will increase 20% over last year with Sales price reming the same What is the new and ich 8. The Company is buying a new machine 9. The Company is beginning to make new hand writing pads to capture voice to written test. Their product cont FM 85, DL 45 - MOR 10 runt # They estimate that 100,000 units will be sold next year. Assuming a 33% mark up. What is the NP for the company Which product is more profitable between the two writing Writing pads Where should the focus of Casio company be on they have any 200000 hour of machine production 13 FORSIAMET CAD BETO Casio Company sells ipads for children, at $85 each - SP For the coming year, management expects fixed costs to total $520,000 and Variable cost to be $25 per unit. 1. Calculate the break-even point in units if current volumes are at 88000 2. Calculate the BEP in dollars using the CMR (Contribution Margin Ratio) 3. Calculate the MOS Margin of Safety-wing Actual sales of $909,000 4. Calculate the sales required in dollars to car an Operating Income of $565.000, 5. Assume a 20% increase in selling price and cost price per unit what will be the new Net profit 6. The Company has a new secial media parter who will promote the company products on Amazon but will take 25% of profits as Sales commission. Calculate the new Ber. 7. Raw material prices are on an increase and CPU will increase over last year with Sales price romining the same. What is the new NP and BEP? 8. The Company is buying a new machinery that will increase overhead costs by S90,000. What is the new Net Profil 6. The Company is beginning to make new hand writing pads to capture voice to written text. Their product cost is RM - XS, DL 45 - MOH-10 per unit. They estimate that 1000 units will be sold next year. Asuming a 33% mark up. What is the NP for this company? Which product is more profitable between the calcuator and the Writing pod Who should Where should be focus of Cario company be on they have only 3000 of the production Anwar TOMAY VE CH N Cost Volume Profit Formulas 1. Sales - Variable Expenses Contribution Margins la. Selling Price per Unit - Variable Expenses per Unit - CM per Unit 2. Breakeven point in Units Fixed Expenses/CM/ unit 3. Breakeven point in Dollars - B'E Units x Selling Price per Unit 4. Breakeven point in Dollars - Fixed Expenses CM Ratio 5. Contribution Margin Ratio - CM/Sales 6. Sales - Variable expenses - Fixed Expenses - Operating Profit (income) 6a. S-VC=CM; CM - Fixed Operating Profit (Income) 7. Target Sales in Units - Fixed Expenses + Target Operating Profit CM unit 8. Target Sales in Dollars - Fixed Expenses + Target Operating Profit CM ratio 9. Operating Leverage=CM/Net income 10. Safety Margin - Budgeted Sales - Breakeven Sales

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

Students also viewed these Accounting questions