A B C I See The Light Projected Income Statement For the Period Ending December 31, 20x1 $ 1,125,000.00 723,250.00 $ 401,750.00 Sales 25,000 lamps @ $45.00 Cost of Goods Sold @ $28.93 Gross Profit Selling Expenses Fixed $ 23,000.00 Variable (Commission per unit) @ $3.15 78.750.00 $ 101,750.00 Administrative Expenses: Fixed $42.000.00 Variable @ $0.061,500.00 43,500.00 Total Selling and Administrative Expenses Net Profit S 145.250.00 256,500.00 REVIEW VIEW Cut Copy - Arial - 10 = = = D. A A .A. B IU Wrap Text Merge & Center - . $ % , 909 oard Conditional Formatting Font Alignment Number BC L I See The Light Projected Balance Sheet As of December 31, 20x1 $ 34,710.00 67,500.00 Current Assets Cash Accounts Receivable Inventory Raw Material Figurines Electrical Sets Work in Process Finished Goods Total Current Assets 500 @ 500 @ $9.20 $1.25 4,600.00 625.00 3000 @ $28.93 $ 86.790.00 194 225.00 Fixed Assets Equipment Accumulated Depreciation Total Fixed Assets Total Assets $ 20.000.00 6,800.00 $ 13.200.00 207425.00 $ Current Liabilities Accounts Payable Total Liabilities Stockholder's Equity Common Stock Retainer Faminas 2 3 4 5 54,000.00 54.000.00 $ 12,000.00 141425 in 6 7 8 9 10 11 12 - X Cut Arial E Copy - Wrap Text - 10 - -A A = = = - A.E33 BIU Merge & Center - $ % 900 Format Painter Clipboard Conditional For Formatting* TE Font Alignment Number Style $ 34,710.00 67,500.00 IA BC Current Assets Cash Accounts Receivable Inventory Raw Material Figurines Electrical Sets Work in Process Finished Goods Total Current Assets 500 @ 500 @ $9.20 $1.25 4,600.00 625.00 3000 @ $28.93 86.790.00 194,225.00 S mtinin Fixed Assets Equipment Accumulated Depreciation Total Fixed Assets Total Assets $ 20,000.00 6,800.00 13,200.00 S207,425.00 $ $ 54.000.00 54.000.00 Current Liabilities Accounts Payable Total Liabilities Stockholder's Equity Common Stock Retained Earnings Total Stockholder's Equity Total Liabilities and Stockholder's Equity S 12.000.00 141.425 00 S 153.425.00 207.425.00 ... 2 3 4 5 6 7 8 9 10 15 16 17 18 Pres... HEADY er wrap lext - aste BIU. - A- $ - % 8 Copy Format Painter Clipboard Merge & Center - Alignment Font seva Number 2 A B C D E F G O Cost per lamp $28.9250000 per lamp 32 Expected increases for 20x2 39 When calculating projected increases round to SEVEN decimal places $0.0000000. 1. Material Costs are expected to increase by 2.00% 2. Labor Costs are expected to increase by 3.00% 3. Variable Overhead is expected to increase by 4.50%. 4. Fixed Overhead is expected to increase to $270,000 5. Fixed Administrative expenses are expected to increase to $60,000 6. Variable selling expenses (measured on a per lamp basis) are expected to increase by 3.50% 7. Fixed selling expenses are expected to be $39.000 in 20x2 8. Variable administrative expenses (measured a per lamp basis) are expected to increase by 5.00% 83 On the following schedule develop the following figures 84 1. 20x2 Projected Variable Manufacturing Unit Cost of a lamp ... 2 B 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Pres. TURIIULAS DATA REVIEW VIEW pu X Cut MS Sans Serif Copy & Format Painter B IU- -8.5 ; A A A. = = = D. Wrap Text Merge & Center - Clipboard Font Alignment Number XV fix B C D E 2. Labor Costs are expected to increase by 3.00%. F F G G H 3. Variable Overhead is expected to increase by 4.50% 4. Fixed Overhead is expected to increase to $270,000. 5. Fixed Administrative expenses are expected to increase to $60,000. 6. Variable selling expenses (measured on a per lamp basis) are expected to increase by 3.50% 7. Fixed selling expenses are expected to be $39,000 in 20x2. 8. Variable administrative expenses (measured a per lamp basis) are expected to increase by 5.00% On the following schedule develop the following figures: 1- 20x2 Projected Variable Manufacturing Unit Cost of a lamp. 2- 20x2 Projected Variable Unit Cost per lamp 3. 20x2 Projected Fixed Costs. + FILE A HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW X Cut Arial - 10 AAS 9. Wrap Text Da Copy BIU- - - A. ESSE Format Painter Merge & Center - Clipboard Font Alignment Paste $ - %. Number D46 I See The Light, Inc Schedule of Projected Costs 9 Vanable Manufacturing Unit Cost 20x1 Cost Projected Percent Increase 11 Figurines 13 Electrical Sets 14 Lamp Shade 15 Labor 16 Variable Overhead 20x2 Cost Rounded to 7 Decimal Places 9.3840000 1.2750000 1200000 2.2950000 0.2295000 {4.01) {4.02) (403) (4.04) (4.05} 19 Prientar Variable inn 9. Arial Be Wrap Text Merge & Center - 10 AA== BIU- 2. SAE $ - %; * Cut En Copy Format Painter Clipboard Paste Number Alignment Font D46 23 Total Variable Cost Per Unit 20x1 Cost Projected Percent Increase 20x2 Cost Rounded to 7 Decimal Places 26 Variable Selling 27 Variable Administrative 28 Projected Variable Manufacturing Unit Cost 3.2130000 0.0612000 19.3035000 {4.07} {4.08) {4.06) 32 Projected Total Variable Cost Per Unit 22.5777000 {4.09) 37 Schedule of Fixed Costs 20x 1 Cost Projected Percent Increase 20x2 Cost Rounded to 2 Decimal Places 270000.00 (410) lamps @_) 39 Fixed Overhead 40 (normal capacity of 41 Fixed Selling 43 Fixed Administrative 39000.00 60000.00 {4.11) {4.12} 44 45 Projected Total Fixed Costs ... 2 3 4 READY 5 6 7 8 9 10 11 369000.00 16 17 14 15 (413) 18 Pres... Clipboard Number Alignment Font DAG : x x 32 Projected Total Variable Cost Per Unit 22.5777000 {4.09) 37 Schedule of Fixed Costs 20x1 Cost Projected Percent Increase 20x2 Cost Rounded to 2 Decimal Places 270000.00 [4.10) lamps @ ) 39 Fixed Overhead 40 (normal capacity of 41 Fixed Selling 43 Fixed Administrative 44 45 Projected Total Fixed Costs 39000.00 60000.00 {4.11) {4.12} 369000.00 [413) 45 PART 2 Cost Volume Relationships - Profit Planning Big Al is about to begin work on the budget for 20x2 and they have requested that you prepare an analysis based on the following assumptions. Note: Remember, that we cannot sell part of a lamp, therefore to find the number of units you have to round up to the next complete unit. Furthuremore, to find the required sales in dollars it may be easier to find the number of units and then multiply by the selling price per unit. 15 16 1 For 20x2 the selling price per lamp will be 545.00. What is the projected contribution margin and contribution margin ratio for each lamp sold? 30 Contribution Margin per unit (Round to seven places S ... 2 3 3 4 5 5 6 6 7 7 8 8 9 9 5.011 10 10 11 11 12 12 13 14 $19.2400000 16 17 18 Pres 15 READY Type here to search