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Donahue Brothers Company operates and services snack vending machines located in restaurants, gas stations, and factories in four southwestern states. The machines are rented from
Donahue Brothers Company operates and services snack vending machines located in restaurants, gas stations, and factories in four southwestern states. The machines are rented from the manufacturer. In addition, Donahue must rent the space occupied by its machines. The following expense and revenue relationships pertain to a contemplated expansion program of 80 machines Fixed monthly expenses and other data follow (Click the icon to view the fixed monthly expenses) (Click the icon to view the other data) Read the requirements (Enter any percentages or ratios in decimal form to two decimal places, XX) Requirement 1. What is the monthly break-even point in number of units (snacks)? In dollar sales? Begin by determine the formula and then enter the amounts to calculate the break-even in units Total fixed expenses Unit contribution margin Break-even in units $ 4000 $ 0.32 12.500 - Next, determine the formula and then enter the amounts to calculate the break-even point in dollar sales Total fixed expenses Contribution margin ratio 0.32 Break-even in dollar sales 12 500 4.000 Requirement 2. 145,000 units were sold, what would be the company's net income? Determine the formula and then enter the amounts to calculate the company's net income if 45,000 units were sold x - Net income Sk/sta Break-even units Fixed expenses Selling price Units sold Vanable cost ch own list and then click Check Answer parts remaining Clear All Check
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