Ecome statement for Bubos - 12 months Reven 514,62 150 Couts Manufacturing conte $14.440.395 Allocated corporate costs 734.105 15,174,503 Product line margin 05-1921 Allowance for tax (205) 98470 Productie procese) 5.1938) Luke Corporation produces a variety of products, each within their own division last year, the managers at Luke developed and began marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which seils for $5.25 percase, has not had the market success that managers expected, and the company is considering dropping Bubbs Additional Information: 1. The product line income statement for the past 12 months in shown in Table 1. 2. All products at luke receive an allocation of corporate overhead costs, which is computed as 5 percent of the product's grous revenue. The 5 percent rate is based on the most recent year's corporate costs divided by corporate revenues Data on corporate costs and revenues for the past two years are shown in Table 2. You may assume the fed corporate overhead is $1,454,000 in each year. None of these food costs are specifically traceable to Bubbs 3. Roy O. Andre, the product manager for Bubbis, is concerned about whether the product will be dropped by the company and has employed you as a financial contultant to help with some anwysis. In addition to the Information Even above, Mr. Andre provides you with the data in Table on the bus monthly product costs. 4. Table a presents the results of a regression analysis of the data in Table 3. Table 2 Corporate Revenues OH Costs Most recent year $104,750,000 $5.337500 Previous year 56,200,000 54.221.000 Fixed Corporate DH is $1,454,000 in each year Table 4 Regression Analysis of Table 3 Monthly Production Data + Table 3. Monthly Production and Production Costs Month Prod. Costs 1 207,000 5 1.1.19,82 217200 1.161,120 216.00 1.169.981 225,000 $ 1.185.523 5 224400 1.117,822 . 237,000 $ 1.2003 > 320,200 $ 113.99 . 24.2005 1126,724 30 1.223,220 10 252,600 1272 250.2005 1.241.760 259,200 $ 1272451 Regression Statistics Multiple Square Adjusted Square Standard Error Observations 0.962 0.925 0.911 12,533.693 12.000 sro Intercept Concerts 613,50 2.5474 Standard Error 53,525 023 11.47 11.12 value 0.0000 0.0000 QUESTION 7 Refer to the Excel spreadsheet (available in Blackboard): a311 Chpt 5 Quiz Data.xlsx for required information. Assume the variable allocated corporate costs are $0.192 per case of Bubbs. Based on the available information what is the total variable cost per case of Bubbs? QUESTIONS Refer to the Excel spreadsheet (available in Blackboard): a311 Chpt 5 Quiz Data.xlsx for required information. What is the contribution margin per case of Bubbs? QUESTION 9 Refer to the Excel spreadsheet (available in Blackboard): a311 Chpt 5 Quiz Data.xlsx for required information. What is the monthly average number of cases of Bubbs that Lukes sold last year? Round to the nearest whole number QUESTION 10 Refer to the Excel spreadsheet (available in Blackboardy:a311 Chpt 5 Quiz Data.xlsx for required information. What is the monthly break-even number of cases of Bubbs? Round to the nearest whole number Ecome statement for Bubos - 12 months Reven 514,62 150 Couts Manufacturing conte $14.440.395 Allocated corporate costs 734.105 15,174,503 Product line margin 05-1921 Allowance for tax (205) 98470 Productie procese) 5.1938) Luke Corporation produces a variety of products, each within their own division last year, the managers at Luke developed and began marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which seils for $5.25 percase, has not had the market success that managers expected, and the company is considering dropping Bubbs Additional Information: 1. The product line income statement for the past 12 months in shown in Table 1. 2. All products at luke receive an allocation of corporate overhead costs, which is computed as 5 percent of the product's grous revenue. The 5 percent rate is based on the most recent year's corporate costs divided by corporate revenues Data on corporate costs and revenues for the past two years are shown in Table 2. You may assume the fed corporate overhead is $1,454,000 in each year. None of these food costs are specifically traceable to Bubbs 3. Roy O. Andre, the product manager for Bubbis, is concerned about whether the product will be dropped by the company and has employed you as a financial contultant to help with some anwysis. In addition to the Information Even above, Mr. Andre provides you with the data in Table on the bus monthly product costs. 4. Table a presents the results of a regression analysis of the data in Table 3. Table 2 Corporate Revenues OH Costs Most recent year $104,750,000 $5.337500 Previous year 56,200,000 54.221.000 Fixed Corporate DH is $1,454,000 in each year Table 4 Regression Analysis of Table 3 Monthly Production Data + Table 3. Monthly Production and Production Costs Month Prod. Costs 1 207,000 5 1.1.19,82 217200 1.161,120 216.00 1.169.981 225,000 $ 1.185.523 5 224400 1.117,822 . 237,000 $ 1.2003 > 320,200 $ 113.99 . 24.2005 1126,724 30 1.223,220 10 252,600 1272 250.2005 1.241.760 259,200 $ 1272451 Regression Statistics Multiple Square Adjusted Square Standard Error Observations 0.962 0.925 0.911 12,533.693 12.000 sro Intercept Concerts 613,50 2.5474 Standard Error 53,525 023 11.47 11.12 value 0.0000 0.0000 QUESTION 7 Refer to the Excel spreadsheet (available in Blackboard): a311 Chpt 5 Quiz Data.xlsx for required information. Assume the variable allocated corporate costs are $0.192 per case of Bubbs. Based on the available information what is the total variable cost per case of Bubbs? QUESTIONS Refer to the Excel spreadsheet (available in Blackboard): a311 Chpt 5 Quiz Data.xlsx for required information. What is the contribution margin per case of Bubbs? QUESTION 9 Refer to the Excel spreadsheet (available in Blackboard): a311 Chpt 5 Quiz Data.xlsx for required information. What is the monthly average number of cases of Bubbs that Lukes sold last year? Round to the nearest whole number QUESTION 10 Refer to the Excel spreadsheet (available in Blackboardy:a311 Chpt 5 Quiz Data.xlsx for required information. What is the monthly break-even number of cases of Bubbs? Round to the nearest whole number