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Boyko, Inc. has fixed costs of $400,000. Total costs, both fixed and variable, are $550,000 when 40,000 units are produced. Calculate the total costs if
Boyko, Inc. has fixed costs of $400,000. Total costs, both fixed and variable, are $550,000 when 40,000 units are produced. Calculate the total costs if the volume increases to 76,000 units. (Round any intermediate calculations to the nearest cent, and your final answer to the nearest dollar.) A. $550,000 B. $950,000 C. $150,000 D. $685,000 For the next year, Sullivan & Co. predicts sales of 15,000 units of a product with a contribution margin of $7.00 per unit and 30,000 units of another product with a contribution margin of $9.00 per unit. The weighted - average contribution margin per unit is $8.33. True False Khayyam Company, which sells tents, has provided the following information: Sales price per unit Variable cost per unit Fixed costs per month $40 10 $12,100 What are the required sales in units for Khayyam to break even? (Round your answer up to the nearest whole unit.) O A. 242 units B. 303 units C. 1,210 units D. 404 units Links Golf Course is planning for the coming golfing season. Investors would like to earn a 10% return on the company's $58,000,000 of assets. The company primarily incurs fixed costs to groom the greens and fairways. Fixed costs are projected to be $30,000,000 for the season. About 500,000 rounds of golf are expected to be played each year. Variable costs are about $15 per round of golf. Links Golf Course is a price taker and will not be able to charge more than its competitors, who charge $78 per round of golf. Compute the operating profit that will be earned. A. $5,800,000 B. $1,500,000 C. $76,500,000 D. $39,000,000 Luna Company makes special equipment used in cell towers. Each unit sells for $420. Luna produces and sells 12,500 units per year. They have provided the following income statement data: $5,250,000 Traditional Format Sales revenue Cost of goods sold Gross profit Selling & admin. expenses $5,250,000 2,900,000 2,350,000 560,000 Contribution Margin Format Sales revenue Variable costs: Manufacturing Selling & admin. Contribution margin Fixed costs: Manufacturing Selling & admin. Operating income 1,000,000 300,000 3,950,000 1,900,000 260,000 $1,790,000 Operating income $1,790,000 O A. Operating income will decrease by $24,000. B. Operating income will decrease by $16,200. C. Operating income will increase by $24,000. D. Operating income will increase by $16,200
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