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3 Casio Company sells ipads for children, at $85 each. - SP 4 For the coming year, management expects fixed costs to total $520,000 and

3 Casio Company sells ipads for children, at $85 each. - SP 4 For the coming year, management expects fixed costs to total $520,000 and Varjable 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 - using Actual sales of $999,00o 4. Calculate the Sales required in dollars to earn 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 social media parter who will promote the company products on Amazon but will take 25% of profits as Sales commission. Calculate the new BEP. 7. Raw material prices are on an increase and CPU will increase 20% over last year with Sales price reminaing the same. What is the new NP and BEP? 8. The Company is buying a new machinery that will increase overhead costs by $90,000. What is the new Net Profit? 9. The Company is beginning to make new hand writing pads to capture voice to written text. Their product cost is RM - 85, DL 45 - MOH -10 per unit. They estimate that 100000 units will be sold next year. Assuming a 33% mark up What is the NP for this company? ---- --- ---- ---- -- ----- ---- --- AA 9. 10 11 12 13 14 15 Which product is more profitable between the calcuator and the Writing pad. 16 Where should Where should the focus of Casio company be on if they have only 200000 hours of machine production 17 18 19 20 Answer below 21 BEP FORMAT S 22 23 24 25 26 27 28 29 Base VC CM FC NP -- --- --- E-- - -
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. Casio Company sells ipads for children, at each For the coming your management expects and cost to total 5520,000d Variable cost to be 325 per un 1. Calculate the break even point in units current volumes we at 38000 2. Calculate the BEP in dollars using the CMR (Contibution Marino) 3. Calculate the MOS Margin of lety using Actual sales of $99,000 4. Calculate the sales required in dollars to earn Operating Income of 565.000 5. Asume a 20% increase in selling price and cost price per unit what will be the new Net profit 6. The Company has a new social media parter who will promote the comproducts on Amazon but will be of prof common Cathew 7. Raw material prices are on an increase and OPU will increase 20 aver last yew with Sole price reminning the same. What is the new NP and DEP 8. The Company is buying a new machinery that will increase overhead costs by 500,000. What is the Net Profit? The Company is beginning to make new and writing pads to capture voice to written text. Their product cost RM 85, 045 MOR 10 per unit H They estimate that 100000 units will be sold next year. Asuming 33% mark up What is the NP for this company? 10 Which product is more profitable between the calcuator and the Writing pad. Where should where should the focus of Casio company if they have only 200000 hours of machine production 1 20 now || PEP FLFMAI VC CM FC IND

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