Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Carla Vista Company makes electronics. Its sales for 2022 are $1,485,000. Fixed costs are $434,495 and variable costs are $876,150. it sold 2,700 units in

image text in transcribed
image text in transcribed
Carla Vista Company makes electronics. Its sales for 2022 are $1,485,000. Fixed costs are $434,495 and variable costs are $876,150. it sold 2,700 units in the year. Calculate the contribution margin per unit and the contribution margin ratio. (Round contribution margin per unit to 2 decimal ploces, es. 15.20 and contribution margin ratio to 4 decimal places, es 1.4254% ) Assuming a consistent contribution margin and contribution margin ratio, if its desired operating income is $127,000, what would the compary need to sell in units and in dollars to achieve this goal? (Round onowers to 0 decimal places, es 125.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting Volume 2

Authors: Kin Lo, George Fisher

4th Edition

0135220491, 9780135220498

More Books

Students also viewed these Accounting questions

Question

What is a multivariate data set?

Answered: 1 week ago

Question

What is nonverbal communication?

Answered: 1 week ago