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DED Saved Help Save Required information [The following information applies to the questions displayed below) Raner, Harris & Chan is a consulting firm that specializes

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DED Saved Help Save Required information [The following information applies to the questions displayed below) Raner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two offices-one in Chicago and one in Minneapolis. The firm classifies the direct costs of consulting jobs as variable costs. A contribution format segmented income statement for the company's most recent year is given: Total Sales Variable expenses Contribution margin raceable fixed expenses Office segment margin Common fixed expenses not traceable to offices Net operating income Total Company $ 862,588 100.00 465,750 54.0 396,750 46.0% 193,280 22.4% 203,550 23.6% 138,000 16.8% $ 65,550 7.6% Office Chicago Minneapolis $ 172,500 100 $ 690,000 100% 51.750 30 4 14,000 60% 120, 750 70% 276, 8 4 ex 89,780 52% 103,500 15% $ 31,050 18% $ 172,500 25% Required: 1-a. Compute the companywide break-even point in dollar sales. 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office. 1-c. Is the companywide break-even point greater than, less than or equal to the sum of the Chicago and Minneapolis break-even points? search o Net operating income $ 65,55 7.6% Required: 1-a. Compute the companywide break-even point in dollar sales 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office. 1-c. Is the companywide break-even point greater than, less than or equal to the sum of the Chicago and Minneapolis break-ever points? Complete this question by entering your answers in the tabs below. Reg 1A Req 1B Req 1C compute the companywide break-even point in dollar sales. (Round "CM ratio" to 2 decimal places and final answer to the nearest whole dollar amount.) Break-even point in dollar sales Reg 1B > to search o f $ 65,550 7.6% Required: 1-a. Compute the companywide break-even point in dollar sales. 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office. 1-c. Is the companywide break-even point greater than, less than or equal to the sum of the Chicago and Minneapolis break- points? Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Req 1C Compute the break-even point for the Chicago office and for the Minneapolis office. (Round "CM ratio to 2 decimal places and final answers to the nearest whole dollar amount.) Break-Even Point Chicago office Minneapolis office earch o ta Required: 1-a. Compute the companywide break-even point in dollar sales. 1-b. Compute the break-even point for the Chicago office and for the Minneapolis office. 1-c. Is the companywide break-even point greater than, less than or equal to the sum of the Chicago and Minneapolis break- points? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Reg 1C Is the companywide break-even point greater than, less than or equal to the sum of the Chicago and Minneapolis break-even points? Greater than Os than Equal to earch E KH t C [The following information applies to the questions displayed below) Raner, Harris & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two offices--one in Chicago and one in Minneapolis. The firm classifies the direct costs of consulting jobs as variable costs. A contribution format segmented income statement for the company's most recent year is given: Sales Variable expenses Contribution margin Traceable fixed expenses Office segment margin Common fixed expenses not traceable to offices Net operating income Total Company $ 862,509100.0% 465,75 54.% 396,750 46.% 193,200 22.4% 203,550 23.6% 138, 16.0% $ 65,550 7.6% Office Chicago Minneapolis 172,500 100 $ 690,860 1886 51,750 38% 414,000 68% 120,75 78% 276, 40% 89.700 52% 103,500 15% 31,050 18% $ 172,500 25% $ 2. By how much would the company's net operating income increase if Minneapolis increased its sales by $86,250 per year? Assume no change in cost behavior patterns. Net operating income increase Co search Saved Help Save & E Ches Common fixed expenses not traceable to offices Net operating income 138,eee 65,550 $ 16.ex 7.6% 3. Assume that sales in Chicago increase by $57,500 next year and that sales in Minneapolis remain unchanged. Assume no change in fixed costs a. Prepare a new segmented income statement for the company. (Round your percentage answers to 1 decimal place (.e. 0.1234 should be entered as 12.3).) Total Company Chicago Amount Segments Minneapolis Amount Amount 0.0 $ 0

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