Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

84) Daytona Manufacturer produces flooring material. The monthly fixed costs are $10,000 per month. The unit sales price is $T'5, and variable cost per unit

image text in transcribed
84) Daytona Manufacturer produces flooring material. The monthly fixed costs are $10,000 per month. The unit sales price is $T'5, and variable cost per unit is $35. Daytona wishes to earn an operating income of $25,000. Using the contribution margin ratio, calculate the total sales revenue that is needed. (Round intermediate calculations to five decimal places.) Hint: Required sales in dollars : (Fixed costs + Target profit) i Contribution margin ratio Unit contribution margin 2 Net sales revenue per unit - Variable costs per unit Contribution margin ratio : Contribution margin I Net sales revenue

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

College Algebra Graphs and Models

Authors: Marvin L. Bittinger, Judith A. Beecher, David J. Ellenbogen, Judith A. Penna

5th edition

321845404, 978-0321791009, 321791002, 978-0321783950, 321783956, 978-0321845405

More Books

Students also viewed these Mathematics questions

Question

=+ How do these compare to the layoff and hiring costs?

Answered: 1 week ago