Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Carla Vista Corporation sells a single product for $50. Its management estimates the following revenues and costs for the year 2022: Net sales $590,000 Selling
Carla Vista Corporation sells a single product for $50. Its management estimates the following revenues and costs for the year 2022: Net sales $590,000 Selling expenses-variable $23,600 Direct materials 106,200 Selling expenses-fixed 23,600 Direct labour 70,800 Administrative expenses-variable 11,800 Manufacturing overhead-variable 23,600 Administrative expenses-fixed 11,800 Manufacturing overhead-fixed 35,400 (a) Your answer has been saved. See score details after the due date. Assuming fixed costs and net sales are spread evenly throughout the year, determine Carla Vista's monthly break-even point in units and dollars. (Round answers to O decimal places, e.g. 5,275.) (b) Monthly break-even in units 2,360 units Monthly break-even in dollars $ 118,000 Attempts: 1 of 1 used Calculate the contribution margin ratio, the annual margin of safety ratio, and the annual operating income. (Round answers to O decimal places, e.g. 15 or 15%.) Contribution margin ratio Annual margin of safety ratio Annual operating income +A % %
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