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Molander Corporation is a distributor of a sun umbrella used at resort hotels Data concerning the next month's budget appear below. Selling price per unit Variable expense per unit Fixed expense per month Unit sales per month $ 27 512 $ 12,600 990 Required: 1. What is the company's margin of safety? (Do not round intermediate calculations.) 2. What is the company's margin of safety as a percentage of its sales? (Round your percentage answer to 2 decimal places i.e. 1234 should be entered os 12.34)) 1 Margin of safety in dolin) 2. Margin of safety percentage Mauro Products distributes a single product, a woven basket whose selling price is $28 per unit and whose variable expense is $23 per unit. The company's monthly fixed expense is $6,000. Required: 1. Calculate the company's break even point in unit sales 2. Calculate the company's break even point in dollar sales. (Do not round intermediate calculations.) 3. If the company's fixed expenses increase by $600, what would become the new break-even point in unit sales? In dollar sales? (Do not round intermediate calculations.) baskets 1. Break even point in unit sales 2 Break-even point in dollar sales 3. Break-even point in unit sales 3. Break-even point in dollar sales baskets Lin Corporation has a single product whose selling price is $140 per unit and whose variable expense is $70 per unit. The company's monthly fixed expense is $31,800. Required: 1. Calculate the unit sales needed to attain a target profit of $6,700. (Do not round intermediate calculations.) 2. Calculate the dollar sales needed to attain a target profit of $9,600 (Round your intermediate calculations to the nearest whole number.) 1. Units sales to attain target profit 2. Dollar sales to attain target profit units Miller Company's contribution format income statement for the most recent month is shown below. Total Sales (42,000 units) Variable expenses Contribution margin $ 336,000 210.000 Per Unit $ 8.00 5.ee 126,000 $ 3.00 Fixed expenses Net operating Income 43,000 $ 83,000 Required: (Consider each case independently); 1. What is the revised net operating income if unit sales increase by 10%? 2. What is the revised net operating income if the selling price decreases by $150 per unit and the number of units sold increases by 3. What is the revised net operating income if the selling price increases by $150 per unit, fixed expenses increase by $10,000, and 4. What is the revised net operating income if the selling price per unit increases by 20% variable expenses increase by 40 cents per unit, and the number of units sold decreases by 6%? 23%? 1. Net operating income 12 Net operating income 3. Net operating Income 4 Net operating income Whirly Corporation's contribution format income statement for the most recent month is shown below Total $ 268,609 158,099 Per Unit $ 34.00 20.00 Sales (7,900 units) Variable expenses Contribution margin Fixed expenses Net operating income 119,600 $ 14.00 54,700 $ 55,900 Required: (Consider each case independently): 1. What would be the revised net operating income per month if the sales volume increases by 70 units? 2. What would be the revised net operating income per month if the sales volume decreases by 70 units? 3. What would be the revised net operating income per month if the sales volume is 6.900 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income Last month when Holiday Creations, Incorporated, sold 44,000 units, total sales were $176,000, total variable expenses were $128,480, and fixed expenses were $38,900. Required: 1. What is the company's contribution margin (CM) ratio? 2. What is the estimated change in the company's net operating income if it can increase sales volume by 600 units and total sales by $2.400? (Do not round intermediate calculations.) 1. Contribution margin ratio 2 Estimated change in net operating income %6
