ACCT-122-351 - 60819.202006 X McGraw-Hill Connect X Connect X + X -> C A ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252Fmheproducts%252FImsClose... Apps p Software & driver d... K Kansas Department... G Simplee - Payment... Q In Cold Blood Part... Q AP Lang Part I QUIZ. Ch 21 HW i Saved Help Save & Exit Submit Check my work 6 Required information Part 1 of 3 Problem 21-5A Break-even analysis, different cost structures, and income calculations LO C2, A1, P4 [The following information applies to the questions displayed below.] 2.25 points Henna Co. produces and sells two products, T and O. It manufactures these products in separate factories and markets them through different channels. They have no shared costs. This year, the company sold 52,000 units of each product. Sales and costs for each product follow. Product T Product 0 Book Sales $ 842,400 $ 842,400 Variable costs 673, 920 168, 480 Contribution margin 168, 480 673, 920 Print Fixed costs 26, 480 531, 920 Income before taxes 142, 000 Income taxes (32% rate) 49, 700 49, 700 References Net income $ 92,300 $ 92, 300 Problem 21-5A Part 1 Required: 1. Compute the break-even point in dollar sales for each product. (Enter CM ratio as percentage rounded to 2 decimal places.) Product T Contribution Margin Ratio Choose Numerator: / Choose Denominator: = Contribution Margin Mc Graw O EF e am W 9 7:15 PM 7/26/2020 EACCT-122-351 - 60819.202006 X McGraw-Hill Connect X Connect X + X -> C A ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252Fmheproducts%252FImsClose... Apps up Software & driver d... K Kansas Department... G Simplee - Payment.. @ In Cold Blood Part.. Q AP Lang Part I QUIZ. Ch 21 HW i Saved Help Save & Exit Submit Check my work 6 Required information Part 1 of 3 Required: 1. Compute the break-even point in dollar sales for each product. (Enter CM ratio as percentage rounded to 2 decimal places.) Product T 2.25 points Contribution Margin Ratio Choose Numerator: 1 Choose Denominator: = Contribution Margin Ratio Contribution margin ratio Book Break-Even Point in Dollars Print Choose Numerator: / Choose Denominator: Break-Even Point in Dollars = Break-even point in dollars References Product O Contribution Margin Ratio = Contribution margin ratio Break-Even Points in Dollars Break-even point in dollars Mc Graw eam W 9 7:16 PM 7/26/2020ACCT-122-351 - 60819.202006 X McGraw-Hill Connect X Connect X + X -> C A ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252Fmheproducts%252FImsClose... Apps hp Software & driver d... K Kansas Department... G Simplee - Payment... Q In Cold Blood Part.. Q AP Lang Part | QUIZ.. Ch 21 HW i Saved Help Save & Exit Submit Check my work 7 Net income $ 92, 300 $ 92, 300 Part 2 of 3 Problem 21-5A Part 2 2.25 points 2. Assume that the company expects sales of each product to decline to 35,000 units next year with no change in unit selling price. Prepare forecasted financial results for next year following the format of the contribution margin income statement as just shown with columns for each of the two products (assume a 35% tax rate). Also, assume that any loss before taxes yields a 35% tax benefit. (Round "per unit" answers to 2 decimal places. Enter losses and tax benefits, if any, as negative values.) Book HENNA CO. Forecasted Contribution Margin Income Statement Print Product T Product O Total Units $ Per unit Total $ Per unit Total References Sales 66,000 $ 0 $ 0 Variable cost 66,000 0 0 Contribution margin 66,000 Fixed costs 0 Income before taxes 0 Income taxes (tax benefit) Net income (loss) Mc Graw eam W 7:16 PM 7/26/2020ACCT-122-351 - 60819.202006 X McGraw-Hill Connect X Connect X + X ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252FIms.mheducation.com%252Fmghmiddleware%252Fmheproducts%252FImsClose... Apps hp Software & driver d... K Kansas Department... Simplee - Payment... @ In Cold Blood Part... Q AP Lang Part | QUIZ.. Ch 21 HW i Saved Help Save & Exit Submit Check my work 8 Income taxes (32% rate) 49, 700 49, 700 Net income $ 92, 300 $ 92, 300 Part 3 of 3 Problem 21-5A Part 3 2.25 points 3. Assume that the company expects sales of each product to increase to 66,000 units next year with no change in unit selling price. Prepare forecasted financial results for next year following the format of the contribution margin income statement shown with columns for each of the two products (assume a 35% tax rate). (Round "per unit" answers to 2 decimal places.) Book HENNA CO. Forecasted Contribution Margin Income Statement Print Product T Product O Total Units $ Per unit Total $ Per unit Total References $ O $ $ 0 O Contribution margin Net income (loss) $ 0 Mc Graw eam W 9 7:16 PM 7/26/2020 E