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Ace company has provided the following data: Sales 3,000 units Sales price Variable cost Fixed cost $70 per unit $50 per unit $25,000 SHOW ALL
Ace company has provided the following data: Sales 3,000 units Sales price Variable cost Fixed cost $70 per unit $50 per unit $25,000 SHOW ALL COMPUTATIONS: a) Compute the breakeven sales in units and dollars? wwwww b) Prepare a CM format income statement at BE. c) Compute the CM Ratio (use 4 decimal points, if necessary). d) Use original data above. Compute the operating income or loss if the sales price and variable cost per unit are increased by 10%, total fixed cost is decreased by 20%, and sales volume is decreased by 10%. Hint: Prepare CM Income Statement. Please note: For each income statement above, you must show number of units X S per unit where appropriate.
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