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(b) Calculate the break-even point in dollars under each of the alternative courses of action. (Round contribution margin ratio to 0 decimal places, e.g. 15%
(b) Calculate the break-even point in dollars under each of the alternative courses of action. (Round contribution margin ratio to 0 decimal places, e.g. 15% and final answers to O decimal places, e.g. 5,275.) $ 1680000 Break-even point if unit selling price increases by 25% $ Break-even point if there is a change in compensation $ Break-even point if there is a purchase of new high-tech factory machinery e Textbook and Media Save for Later Last saved 7 days ago. Attempts: 0 of 2 used Submit Answer Saved work will be auto-submitted on the due date. Carla Vista Manufacturing's sales slumped badly in 2022. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 57,600 units of product: net sales $1,728,000; total costs and expenses $1,929,600; and net loss $201,600. Costs and expenses consisted of the amounts shown below: Cost of goods sold Selling expenses Administrative expenses Total $1,296,000 460,800 172,800 $1,929,600 Variable $892,800 120,000 110,400 $1,123,200 Fixed $403,200 340,800 62,400 $806,400 Management is considering the following independent alternatives for 2023: 1. Increase the unit selling price by 25% with no change in costs, expenses, or sales volume. 2. Change the compensation of salespersons from fixed annual salaries totalling $192,000 to total salaries of $19,200 plus a 5% commission on net sales. 3. Purchase new high-tech factory machinery that will change the proportion between variable and fixed cost of goods sold to 50:50
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