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7 Sales Variable expenses Contribution margin Fixed expenses Net operating income Total $ 310,000 217,000 93,000 75,000 $ 18,000 Per Unit $20 14 $ 6

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7 Sales Variable expenses Contribution margin Fixed expenses Net operating income Total $ 310,000 217,000 93,000 75,000 $ 18,000 Per Unit $20 14 $ 6 25 oints eBook Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3-a. How many units would have to be sold each month to attain a target profit of $34,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $57,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3A Reg 3B Reg 4 Reg 5 What is the monthly break-even point in unit sales and in dollar sales? units Break-even point in unit sales Break-even point in dollar salos vould you expect monthly net operating income to increase? Complete this question by entering your answers in the tabs below. Reg 3A Reg 3B Reg 4 Reg 1 Reg 2 Reg 5 Without resorting to computations, what is the total contribution margin at the break-even point? Total contribution margin Req3A > 7 Sales Variable expenses Contribution margin Fixed expenses Net operating income Total $ 310,000 217 000 93,000 75,000 $ 18,000 Per Unit $20 14 $ 6 25 sints eBook Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3-a. How many units would have to be sold each month to attain a target profit of $34,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $57,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Reg 38 Reg 4 Reg 5 How many units would have to be sold each month to attain a target profit of $34,2007 Units sales needed to attain target profit Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3-a. How many units would have to be sold each month to attain a target profit of $34,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $57,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating Income to increase? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Reg 38 Reg 4 Reg 5 Verify your answer by preparing a contribution format income statement at the target sales level. Per Unit Menlo Company Contribution Income Statement Total Sales Variable expenses Contribution margin Fixed expenses Not operating income $ 0$ 0 0 Help Save & Exit Save & Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3-a. How many units would have to be sold each month to attain a target profit of $34,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $57,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating Income to increase? Complete this question by entering your answers in the tabs below. Reg 1 Req 2 Reg 3A Reg 3B Reg 4 Reqs Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. (Round your percentage answer to 2 decimal places (1.e. 0.1234 should be entered as 12.34).) Dollars Percentage Margin of safety (Reg 30 Reqs > Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3-a. How many units would have to be sold each month to attain a target profit of $34.200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $57,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? ok Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Reg 3B Reg 4 Reqs What is the company's CM ratio? If the company can sell more units thereby increasing sales by $57,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? CM ratio Net operating income increases by

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