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24. Most Valuable Professor Mullen Company sells MP3 players for (SP) $60 each. Variable costs (V/C) are $40 per unit, and fixed costs (F/C) total

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24. Most Valuable Professor Mullen Company sells MP3 players for (SP) $60 each. Variable costs (V/C) are $40 per unit, and fixed costs (F/C) total $60,000. How many MP3 players must MVP Mullen sell to earn net income (NI or TP) of $140,000? A) 10,000. B) 3,500. C) 2,500. D) 3,000. 25. Best French Wine Ever Made By Professor Mullen Winery has fixed costs (F/C) of $12,000 per year. Its warehouse sells wine with variable costs (V/C) of 80% of its unit selling price. How much in sales (BEP SS) does Best French Wine Ever Made By Professor Mullen need to break even per year? A) $9,600 B) $2,400 C) $15,000 D) $60,000 26. A company requires $1,700,000 in total budgeted sales (SP) to meet its net income target. Its contribution margin (CM) is 30%, and fixed costs (F/C) are $300,000. What is the target net income (TP or NI)? A) $510,000 B) $390,000 C) $700,000 D) $210,000 27. The Best Professor of Accounting at City College of San Francisco, Inc. wants to sell a sufficient quantity of products to earn a profit (TP or NI) of $60,000. If the unit sales price (SP) is $10, unit variable cost (V/C) is $8, and total fixed costs (F/C) are $120,000, how many units must be sold (BEP SS with TP) to earn income of $60,000? (Hint: TP = $60,000) A) 90,000 units B) 60,000 units C) 22,500 units D) 900,000 units 28. Most Ingenious Games and Toys Made by the Absolute Brilliant Professor Mullen, Inc has actual sales (SP) of S400,000 and a break-even point (BEP SS Sales) of $280,000. How much is its margin of safety ratio (MS %)? (Hint: compute Margin of Safety in SS, then compute MS %) A) 30% B) 70% C) 143% D) 43%

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