Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Belleterre Tiles makes tiles for flooring and other applications. The CFO of the company provides you with the following information for the period October
Belleterre Tiles makes tiles for flooring and other applications. The CFO of the company provides you with the following information for the period October through December, the company's third quarter: Belleterre Tile Revenues and Costs Third Quarter Total quantity sold 125,100 tiles $ 440,352 345,276 91,200 Total revenues Total variable costs Total fixed costs Required: a. What is the average selling price per tile? Note: Round your final answer to 2 decimal places. b. What is the average variable cost per tile? Note: Round your final answer to 2 decimal places. c. What is the average contribution margin per tile? Note: Do not round intermediate calculations. Round your final answer to 2 decimal places. d. What is the current operating profit for a quarter? Note: Do not round intermediate calculations. e. What is the break-even point? Note: Do not round intermediate calculations. f. The CFO tells you that the company owners have said that unless the quarterly operating profit exceeds $15,010, they will liquidate the company. How many tiles would have to be sold in a quarter for Belletern file to earn $15,010 in quarterly operating profit? Note: Do not round intermediate calculations. a. Average selling price per ble b. Average variable cost per ble c. Average contribution margin per tile d. Current operating profit e. Break-even point f. Number of tiles tiles tiles
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