Hello Prof., I need help in this assignment. Thank you very much! Kwaku

Use the following to answer questions 1-3: Grant's Western Wear is a retailer of western hats located in Atlanta, Georgia. Although Grant's carries numerous styles of western hats, each hat has approximately the same price and invoice purchase cost, as shown below. Sales personnel receive large commissions to encourage them to be more aggressive in their sales efforts. Currently the economy of Atlanta is really humming, and sales growth at Grant's has been great. However, the business is very competitive, and Grant has relied on its knowledgeable and courteous staff to attract and retain customers, who otherwise might go to other western wear stores. Also, because of the rapid growth in sales, Grant is finding it more difficult to manage certain aspects of the business, such as restocking of inventory and hiring and training new salespeople. Sales price $ 36.00 Per unit variable costs Invoice cost 18.60 Sales commissions Total per unit variable costs 5.40 $ 24.00 Total annual fixed costs Advertising Rent Salaries Total fixed costs $ 24,000 30,000 126,000 $180,000 Question 1 The annual breakeven point in unit sales is calculated to be: A. 16,000 units. B. 15,000 units. C. 17,000 units. D. 14,000 units. Question 2 The annual breakeven point in dollar sales is calculated to be: A. $540,000. B. $550,000. C. $600,000. D. $740,000. Question 3 If 24,000 hats were sold, Grant's operating income would be: A. $109,000. B. $108,000. C. $110,500. D. $180,000. Use the following to answer questions 4 and 5: Question 4 OutlyTech Corp. expected to sell 24,000 telephone switches. Fixed costs were $12,150,000, unit sales price was $4,190, and unit variable costs were $1,440. OutlyTech's margin of safety in units is calculated to be: A. 20,887.27. B. 18,276.37. C. 19,581.82. D. 22,192.73. Question 5 OutlyTech's margin of safety in sales dollars is calculated to be: A. $82,047,818. B. $76,577,990. C. $71,108,113. D. $92,987,539. Use the following to answer questions 6-9: The sales and cost data for two companies in the transportation industry were as follows: X Company Amount Sales $120,000 Variable costs Contribution margin Fixed costs Operating income Y Company Percent 100 Amount $120,000 Percent 100 (72,000) (60) (36,000) (30) 48,000 40 84,000 70 (36,000) $ 12,000 (72,000) $12,000 Question 6 The annual breakeven point in sales dollars for X Company is calculated to be: A. $90,000. B. $102,857. C. $91,657. D. $110,769. Question 7 X Company's operating leverage is calculated to be: A. 5. B. 4. C. 6. D. 3.5. Question 8 If the company were to increase sales by 5%, 0perating income would increase by: A. $3,000 B. $240 C. $2,000 D. $2,400 Question 9 Becasue of Company Y's leverage factor, if sales decrease, its operating income would decrease at a higher rate than Company X. Yes No Use the following to answer questions 10 and 11: The following costs were for Optimal View Inc., a contact lens manufacturer: Fixed Variable Total Output Costs Costs Costs 300 5,200 12,000 17,200 350 5,200 14,000 19,200 400 5,200 16,000 21,200 450 5,200 18,000 23,200 Question 10 At an output level of 500 lenses, per unit variable cost is calculated to be: A. $50.00 B. $40.00 C. $45 D. $35 Question 11 At an output level of 500 lenses, per unit total cost is calculated to be: A. $50.40 B. $56.67 C. $45.85 D. $48.56 Question 12 Use the following information to answer questions 12 and 13.The following data relate to product no. 89 of Des Moines Corporation: o Direct material standard: 3 square feet each unit at $2.50 per square foot o Direct material purchased: 29,200 square feet at $2.60 per square foot o Direct material consumed: 29,200 square feet o Manufacturing activity: 9,600 units completed Use the following to answer questions 1-3: Grant's Western Wear is a retailer of western hats located in Atlanta, Georgia. Although Grant's carries numerous styles of western hats, each hat has approximately the same price and invoice purchase cost, as shown below. Sales personnel receive large commissions to encourage them to be more aggressive in their sales efforts. Currently the economy of Atlanta is really humming, and sales growth at Grant's has been great. However, the business is very competitive, and Grant has relied on its knowledgeable and courteous staff to attract and retain customers, who otherwise might go to other western wear stores. Also, because of the rapid growth in sales, Grant is finding it more difficult to manage certain aspects of the business, such as restocking of inventory and hiring and training new salespeople. Sales price $ 36.00 Per unit variable costs Invoice cost 18.60 Sales commissions Total per unit variable costs 5.40 $ 24.00 Total annual fixed costs Advertising Rent $ 24,000 30,000 Salaries Total fixed costs 126,000 $180,000 Question 1 The annual breakeven point in unit sales is calculated to be: A. 16,000 units. B. 15,000 units. C. 17,000 units. D. 14,000 units. Question 2 The annual breakeven point in dollar sales is calculated to be: A. $540,000. B. $550,000. C. $600,000. D. $740,000. Question 3 If 24,000 hats were sold, Grant's operating income would be: A. $109,000. B. $108,000. C. $110,500. D. $180,000. Use the following to answer questions 4 and 5: Question 4 OutlyTech Corp. expected to sell 24,000 telephone switches. Fixed costs were $12,150,000, unit sales price was $4,190, and unit variable costs were $1,440. OutlyTech's margin of safety in units is calculated to be: A. 20,887.27. B. 18,276.37. C. 19,581.82. D. 22,192.73. Question 5 OutlyTech's margin of safety in sales dollars is calculated to be: A. $82,047,818. B. $76,577,990. C. $71,108,113. D. $92,987,539. Use the following to answer questions 6-9: The sales and cost data for two companies in the transportation industry were as follows: X Company Y Company Amount Sales $120,000 Variable costs Contribution margin Fixed costs Operating income Percent 100 Amount $120,000 Percent 100 (72,000) (60) (36,000) (30) 48,000 40 84,000 70 (36,000) $ 12,000 (72,000) $12,000 Question 6 The annual breakeven point in sales dollars for X Company is calculated to be: A. $90,000. B. $102,857. C. $91,657. D. $110,769. Question 7 X Company's operating leverage is calculated to be: A. 5. B. 4. C. 6. D. 3.5. Question 8 If the company were to increase sales by 5%, 0perating income would increase by: A. $3,000 B. $240 C. $2,000 D. $2,400 Question 9 Becasue of Company Y's leverage factor, if sales decrease, its operating income would decrease at a higher rate than Company X. Yes No Use the following to answer questions 10 and 11: The following costs were for Optimal View Inc., a contact lens manufacturer: Fixed Variable Total Output Costs Costs Costs 300 5,200 12,000 17,200 350 5,200 14,000 19,200 400 5,200 16,000 21,200 450 5,200 18,000 23,200 Question 10 At an output level of 500 lenses, per unit variable cost is calculated to be: A. $50.00 B. $40.00 C. $45 D. $35 Question 11 At an output level of 500 lenses, per unit total cost is calculated to be: A. $50.40 B. $56.67 C. $45.85 D. $48.56 Question 12 Use the following information to answer questions 12 and 13.The following data relate to product no. 89 of Des Moines Corporation: o Direct material standard: 3 square feet each unit at $2.50 per square foot o Direct material purchased: 29,200 square feet at $2.60 per square foot o Direct material consumed: 29,200 square feet o Manufacturing activity: 9,600 units completed The direct-material quantity variance is: $1,000 Unfavorable $1,000 Favorable $400 Unfavorable $599 Favorable Question 13 The direct-material price variance is: A. $3,000 Unfavorable B. $3,000 Favorable C. $2,920 Unfavorable D. $2,920 Favorable Use the following information to complete questions 14 & 15. The following data relate to product no. 33 of La Quinta Corporation: o Direct labor standard: 5 hours at $14 per hour o Direct labor used in production: 45,000 hours at a cost of $639,000 o Manufacturing activity: 8,900 units completed Question 14 The direct-labor rate variance is: A. $9,100 Favorable B. $9,100 Unfavorable C. $8,900 Unfavorable D. $9,000 Unfavorable Question 15 The direct-labor efficiency variance is: A. $7,000 Unfavorable B. $7,000 Favorable C. $7,100 Favorable D. $7,100 Unfavorable Use the following to answer questions 16 and 17: Kelvin Co. produces and sells socks. Variable costs are $4 per pair, and fixed costs for the year total $90,000. The selling price is $6 per pair. Question 16 The sales units required to make a before-tax profit of $12,000 are calculated to be: A. 51,000 units B. 46,000 units C. 51,500 units Question 17 The sales units required to make an after-tax profit of $15,000, given an income tax rate of forty percent, are calculated to be: A. 58,000 units B. 58,500 units C. 57,500 units D. 57,000 units Question 18 At the breakeven point, fixed cost is always: A. Equal to the contribution margin. B. Less than the contribution margin. C. More than the contribution margin. D. More than the variable cost. Question 19 If everything else remains constant, a decrease in a variable cost per unit would cause the breakeven point (where net income is zero) to: A. cannot tell without more information B. increase C. remain the same D. decrease Use the information to answer 20 & 21 Hubba Company has a current production capacity level of 200,000 units per year. At this level of production, variable costs ar $.90 per unit and fixed costs ar .50 per unit for a total cost per unit of $1.40. Bubba Company has contacted Hubba Company about purchasing 20,000 units at $1.30 each. Current sales would not be affected by the special order and no additional fixed costs would be incurred on the special order. Hubba Company has sufficient capacity to fill this order. Question 20 If Hubba Company decides to accept the special order, Hubba Company's total cost to make these units will be: (Hint: Do not use a full absorption approach and instead use an contribution income) A. $25,000 B. $20,000 C. $18,000 D. $19,000 Question 21 Hubba should accept the special order. Yes No Question 22 When there is a scarce resource, the product that should be produced first is the product A. with the highest sales price per unit of scarce resource B. with the highest contribution margin per unit of scarce resource C. with the highest sales price per unit of scarce resource D. with the lowest contribution margin Answer questions 23 - 26 based on the following chart: Question 23 How much does the company estimate its fixed cost will be? Question 24 Based on the CVP Chart above, how many units must the company sell to break even? A. 11,000 units B. 10,000 units C. 9,000 units D. 8,000 units Question 25 Based on the CVP Chart above, what is the company's selling price per unit? A. $10.50 per unit B. $10 per unit C. $11 per unit D. $9 per unit Question 26 Based on the CVP Chart above, what is the company's variable cost per unit? Question 27 We talked about Decision Models in Week 10 and you should rely on that information to answer this question. We also worked through an in class exercise during the session. Provide me with 3 solid alternatives to solve the problem in class. Answers: 1 15000 units 2 540000 3 Sales Variable cost Total fixed cost Operating income 4 Break even = Sales Margin of safety 5 In dollars 864000 576000 180000 108000 4418.181818 24000 19581.81818 82047818.18 6 Break even in dollars 90000 7 Operating leverage 4 8 New operating income Increase 14400 2400 9 Yes 10 Per unit VC 40 11 Per unit total cost 50.4 12 Direct material quantity variance 1000 U 13 Direct material price variance 3000 U 14 Direct labor rate var 9000 U 15 Direct labor effi var 7000 u 16 Units req 51000 17 Units 57500 18 Equal to contribution margin 19 Decrease 20 Cost for special units 18000 21 yes 22 with the highest contribution margin per unit 23 Fixed cost 50000 24 Breakeven 10000 units 25 Selling price 10 26 Variable cost 5 Answers: 1 15000 units 2 540000 3 Sales Variable cost Total fixed cost Operating income 4 Break even = Sales Margin of safety 5 In dollars 864000 576000 180000 108000 4418.181818 24000 19581.81818 82047818.18 6 Break even in dollars 90000 7 Operating leverage 4 8 New operating income Increase 14400 2400 9 Yes 10 Per unit VC 40 11 Per unit total cost 50.4 12 Direct material quantity variance 1000 U 13 Direct material price variance 3000 U 14 Direct labor rate var 9000 U 15 Direct labor effi var 7000 u 16 Units req 51000 17 Units 57500 18 Equal to contribution margin 19 Decrease 20 Cost for special units 18000 21 yes 22 with the highest contribution margin per unit 23 Fixed cost 50000 24 Breakeven 10000 units 25 Selling price 10 26 Variable cost 5