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Drayton Windows is a small company that installs windows. Its cost structure is as follows: (Click the icon to view the cost structure.) Calculate (a)
Drayton Windows is a small company that installs windows. Its cost structure is as follows: (Click the icon to view the cost structure.) Calculate (a) the breakeven point in units and revenues and (b) the number of windows Drayton Windows must install and the revenues needed to earn a target operating income of $200,000. Calculate (a) the breakeven point in units and revenues. Data table Determine the formula for the breakeven point in units, then enter the amounts and Selling price from each window installation Variable cost of each window installation Annual fixed costs 800 $ 600 $ 190,000 Determine the formula for the breakeven point in revenues, then enter the amounts x Print Done Calculate (b) the number of windows Drayton Windows must install and the revenu Select the formula labels, enter the amounts and calculate the number of windows required to be sold to reach a target operating income of $200,000. + + Next, determine the revenues needed to earn a target operating income of $200,000. Number of units required to be sold = Determine the formula for the breakeven point in revenues, then enter the amounts and calculate the breakeven point in revenues. = Breakeven point in revenues Calculate (b) the number of windows Drayton Windows must install and the revenues needed to earn a target operating income of $200,000. Select the formula labels, enter the amounts and calculate the number of windows required to be sold to reach a target operating income of $200,000. + + Next, determine the revenues needed to earn a target operating income of $200,000. Number of units = required to be sold First, select the formula labels, then enter the amounts and calculate the revenues required to earn the desired operating income. Revenue required = to achieve target
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