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Aerotek Apparel Company Aerotek Apparel Company produces clothing and accessories, with a specialty in discount leather wallets and sells them to retailers who sell them
Aerotek Apparel Company Aerotek Apparel Company produces clothing and accessories, with a specialty in discount leather wallets and sells them to retailers who sell them directly to consumers.
PLEASE MAKE A PROPOSAL THAT WHAT FORMULAS ARE USED AND MAKE MEMORANDUM OF BELOW PART IN A DETAIL WAY.
Q1-A | ||||
Aerotek Apparel Company | ||||
CVP Income Statement | ||||
For the Year Ended December 30, 2019 | ||||
Total | Per unit | |||
Sales (295,000 pieces) | $ 23,60,000 | $ 8.00 | ||
Variable cost | $ 14,08,625 | $ 4.78 | ||
Contribution Margin | $ 9,51,375 | $ 3.225 | ||
Fixed costs | $ 9,50,000 | |||
Net income | $ 1,375 | |||
Contribution Margin | 3.225 | |||
Q1-B | ||||
Company Contribution Margine for the year 2019 | ||||
Conribution Margine Ratio = Contribution / Sales x 100 | ||||
Contribution | 9,51,375 | x 100 | ||
sales | 23,60,000 | |||
Contribution Margin Ratio | 40.31% | |||
Q1-C | ||||
Break-even point in units | ||||
Unit per price | Variable cost | Fixed cost | = | 0 |
8 | $ 4.775 | 9,50,000 | = | 0 |
8 | $ 4.775 | = | 9,50,000 | |
3.225 | = | 9,50,000 | ||
Q | = | 2,94,573.64 | ||
Break-even point | 2,94,574 | |||
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