Question
Assignment 2: Assume that total variable costs are $2,000,000. There were 50,000 units sold. The sales price per unit is $60. Total fixed costs are
Assignment 2: Assume that total variable costs are $2,000,000. There were 50,000 units sold. The sales price per unit is $60. Total fixed costs are $600,000. How many units need to be sold to generate a net income of $50,000?
Assignment 3: Assume that total sales were $4,000,000. Total variable costs were $800,000. Total fixed costs were $200,000. Based on this data, compute: a) Contribution Margin Ratio b) Break-Even Sales Volume in Dollars c) Margin of Safety Ratio d) Net Income Percentage
Assignment 4: Assume that 400,000 units were sold. Total capacity is 500,000 units. The sales volume in dollars was $1,000,000. Total variable costs were $100,000. Total fixed costs were $50,000. Based on this data, compute the break-even point in both dollars and units.
Assignment 5: Refer to Assignment 4. Assume that the company is only operating at 60% of capacity. Should you accept an offer from a customer to buy 10,000 units at $2 per unit?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started