Appendix 1 -PT Toy Q4 income statement PT Toy Q4 Income Statement - Stuffed Toy For the Quarter ending December 31 Sales in Units November December October Sool Sales 1000 Less: cost of goods sold 500,000 400,000 250,000 125,000 Gross margin 250,000 200,000 Operating expenses: 125,000 250,000 200,000 Advertising 5,000 5,000 5,000 Salaries & Commissions 72,500 85,000 80,000 Depreciation expense 10,000 10,000 10,000 Utilities expense 12.000 17,000 15,000 Total operating expenses 99,500 117,000 110,000 Net Income 25,500 133,000 90,000 Notes from Priyan: . I don't really know what costs are variable or fixed within this department. Can you help me figure this out? I think I'm going to sell 900 units in January if that helps at all. Required Find the fixed a variable costs Prepare a contribution format income statement for January Appendix 2 - CVP analysis Priyan has supplied you with the folle information for the year upcoming Expected sales Sales Price Variable Costs Small toys 11,400.00 7.00 4.00 Large toys 10,200.00 10.00 6.50 Specialty toys 22,500.00 15.00 11.00 50.00 950.00 500.00 Fixed Costs tax rate 175,000.00 15% Information on toy unit sales from other toy stores is easily accessible. On the low end som casily accessible. On the low end, some toy stores will sell 38,000 units. On the high end is 95,000 units. The average is about 50,000 units per units per year. Find for Priyan: Break Even by sales mix Margin of Safety Sales needed for a target Profit of $85K after tax Priyan sends you a text: I'm thinking of changing a few things with my marketing. What will happen overall for the year if I do the following? Let me know what you think! 1. Increase the average selling price of my Large Toys to $12. This will likely decrease sales by 15% of the Large Toys but would increase my small toy sales by 10%, my specialty toys by 5% and figurines would remain unaffected. 2. By taking on another investor, I could increase my figurine sales to 500 per year, but there would be a one-time cost to me of $350,000 and it would raise my fixed costs to $300,000 pe year. Variable g= mxtb-pixed Appendix 3 - Constrained Resource We get our Springs for the trampoline from Springs is unmatched. I can't find another supplier that can even come close has told me that he can only supply me with 26.750 springs per month resources now? How is this going to affect my sales? ampoline from Springs by Stan. They are a local company and their quality ter supplier that can even come close to the quality of Stan's springs. He only supply me with 26,750 sprines per month. Where should I allocate my Large Industrial Selling price Small 250 500 950 VC 175 250 500 Average Estimated sales (units) per month 950 850 Springs to make trampoline 10 I think the Industrial market is starting to decline and the small market is the entry level trampoline for families. Typically they would buy a small trampoline and then upgrade to either a large or Industrial trampoline