Gold Star Rice, Limited, of Thailand exports Thai rice throughout Asia. The company grows three varieties...
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Gold Star Rice, Limited, of Thailand exports Thai rice throughout Asia. The company grows three varieties of rice-White, Fragrant, and Loonzain. Budgeted sales by product and in total for the coming month are shown below: Product Percentage of total sales Sales White 48% Fragrant 20% Loonzain 32% Total 100% Variable expenses $ 321,600 96,480 Contribution margin Fixed expenses Net operating income $ 225,120 100% $ 134,000 30% 107,200 70% $ 26,800 100% 80% $ 214,400 117,920 100% 55% $ 670,000 100% 321,600 48% 20% $ 96,480 45% 348,400 52% 232,440 $ 115,960 Dollar sales to break-even = Fixed expenses / CM ratio = $232,440 / 0.52 = $447,000 As shown by these data, net operating income is budgeted at $115,960 for the month and the estimated break-even sales is $447,000. Assume that actual sales for the month total $670,000 as planned; however, actual sales by product are: White, $214,400; Fragrant, $268,000; and Loonzain, $187,600. Required: 1. Prepare a contribution format income statement for the month based on the actual sales data. 2. Compute the break-even point in dollar sales for the month based on your actual data. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the break-even point in dollar sales for the month based on your actual data. (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) Break-even point in dollar sales < Required 1 Required 2 > Gold Star Rice, Limited, of Thailand exports Thai rice throughout Asia. The company grows three varieties of rice-White, Fragrant, and Loonzain. Budgeted sales by product and in total for the coming month are shown below: Product Percentage of total sales Sales White 48% Fragrant 20% Loonzain 32% Total 100% Variable expenses $ 321,600 96,480 Contribution margin Fixed expenses Net operating income $ 225,120 100% $ 134,000 30% 107,200 70% 100% 80% $ 214,400 117,920 100% 55% $ 670,000 321,600 100% 48% $ 26,800 20% $ 96,480 45% 348,400 52% 232,440 $ 115,960 Dollar sales to break-even = Fixed expenses / CM ratio = $232,440 / 0.52 = $447,000 As shown by these data, net operating income is budgeted at $115,960 for the month and the estimated break-even sales is $447,000. Assume that actual sales for the month total $670,000 as planned; however, actual sales by product are: White, $214,400; Fragrant, $268,000; and Loonzain, $187,600. Required: 1. Prepare a contribution format income statement for the month based on the actual sales data. 2. Compute the break-even point in dollar sales for the month based on your actual data. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a contribution format income statement for the month based on the actual sales data. Gold Star Rice, Limited Contribution Income Statement Product White Percentage of total sales % Fragrant % Loonzain % Total % % % % % % % % % $ 0 0% $ 0 0% $ 0 0% 0 0% < Required 1 Required 2 > 0 Gold Star Rice, Limited, of Thailand exports Thai rice throughout Asia. The company grows three varieties of rice-White, Fragrant, and Loonzain. Budgeted sales by product and in total for the coming month are shown below: Product Percentage of total sales Sales White 48% Fragrant 20% Loonzain 32% Total 100% Variable expenses $ 321,600 96,480 Contribution margin Fixed expenses Net operating income $ 225,120 100% $ 134,000 30% 107,200 70% $ 26,800 100% 80% $ 214,400 117,920 100% 55% $ 670,000 100% 321,600 48% 20% $ 96,480 45% 348,400 52% 232,440 $ 115,960 Dollar sales to break-even = Fixed expenses / CM ratio = $232,440 / 0.52 = $447,000 As shown by these data, net operating income is budgeted at $115,960 for the month and the estimated break-even sales is $447,000. Assume that actual sales for the month total $670,000 as planned; however, actual sales by product are: White, $214,400; Fragrant, $268,000; and Loonzain, $187,600. Required: 1. Prepare a contribution format income statement for the month based on the actual sales data. 2. Compute the break-even point in dollar sales for the month based on your actual data. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the break-even point in dollar sales for the month based on your actual data. (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) Break-even point in dollar sales < Required 1 Required 2 > Gold Star Rice, Limited, of Thailand exports Thai rice throughout Asia. The company grows three varieties of rice-White, Fragrant, and Loonzain. Budgeted sales by product and in total for the coming month are shown below: Product Percentage of total sales Sales White 48% Fragrant 20% Loonzain 32% Total 100% Variable expenses $ 321,600 96,480 Contribution margin Fixed expenses Net operating income $ 225,120 100% $ 134,000 30% 107,200 70% 100% 80% $ 214,400 117,920 100% 55% $ 670,000 321,600 100% 48% $ 26,800 20% $ 96,480 45% 348,400 52% 232,440 $ 115,960 Dollar sales to break-even = Fixed expenses / CM ratio = $232,440 / 0.52 = $447,000 As shown by these data, net operating income is budgeted at $115,960 for the month and the estimated break-even sales is $447,000. Assume that actual sales for the month total $670,000 as planned; however, actual sales by product are: White, $214,400; Fragrant, $268,000; and Loonzain, $187,600. Required: 1. Prepare a contribution format income statement for the month based on the actual sales data. 2. Compute the break-even point in dollar sales for the month based on your actual data. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a contribution format income statement for the month based on the actual sales data. Gold Star Rice, Limited Contribution Income Statement Product White Percentage of total sales % Fragrant % Loonzain % Total % % % % % % % % % $ 0 0% $ 0 0% $ 0 0% 0 0% < Required 1 Required 2 > 0
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Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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