Question
For the coming year, Cleves Company anticipates a unit selling price of $112, a unit variable cost of $56, and fixed costs of $638,400. Required:
For the coming year, Cleves Company anticipates a unit selling price of $112, a unit variable cost of $56, and fixed costs of $638,400.
Required:
2. Compute the sales (units) required to realize income from operations of $347,200.
4. Determine the probable income (loss) from operations if sales total 18,200 units. If required, use the minus sign to indicate a loss.
For a recent year, McDonald's Company-owned restaurants had the following sales and expenses (in millions):
Sales | $29,800 |
Food and packaging | $11,342 |
Payroll | 7,500 |
Occupancy (rent, depreciation, etc.) | 5,768 |
General, selling, and administrative expenses | 4,300 |
| $28,910 |
Income from operations | $890 |
Assume that the variable costs consist of food and packaging, payroll, and 40% of the general, selling, and administrative expenses.
I only need help with c:
How much would income from operations increase if same-store sales increased by $1,800 million for the coming year, with no change in the contribution margin ratio or fixed costs? Round your answer to the closest million
Break-Even Sales and Cost-Volume-Profit Chart For the coming year, Cleves Company anticipates a unit selling price of $112, a unit variable cost of $56, and fixed costs of $638,400. Required: 1. Compute the anticipated break-even sales in units 11,400 units 2. Compute the sales (units) required to realize income from operations of $347,200. units 3. Construct a cost-volume-profit chart, assuming maximum sales of 22,800 units within the relevant range. From your chart, indicate whether each of the following sales leve's would produce a proft, a loss, or break-even, $1,792,000 $1,601,600 $1,276,800 $963,200 $761,600 4. Determine the probable income (loss) from operations if sales total 18,200 units. If required, use the minus sign to indicate a loss. Profit Profit Break-even Loss LOSS Income
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