Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I am having issue with this problem Any help will be highly appreciated. Thanks a lot for your efforts. Activities LibreOffice Calc Jun 5 21:02:35
I am having issue with this problem Any help will be highly appreciated. Thanks a lot for your efforts.
Activities LibreOffice Calc Jun 5 21:02:35 . 93 18.5 C Summer 2019 Module 5 Excel Workbook Assianment.xlsx- LibreOffice Calc File Edit View Insert Farmat Styles Sheet Data Tacls Wincow Help abs AL : A % 74 00 00 - I U A Calibri 11 fx I A34 Hi 5 Hold Right sells handles and doors. The data shows company's current operating activities: A Solution: Show your answer with the right calculations 6 Handles Doors Total 7 75.00% 25,00% 100.000 % units percentage Current sales mix 1Total Units (products combined) to Break Even: 8 Selling Price per Unit Variable Cost per Unit $220 $550 $125 $315 for 10 $478 $840,000 Faurcent Unit Volume 3 500 11.500 6.000 13 2 Units of Each Product to Break Even: 14 15 ales Mix, below for organized calculations (including things like Current Unit Volume, Wtd CM, Wtd Average CM, 16 17 18 3 Total Sales Dollars (products combined) Break Even: 20. 21 22 23 24 25 4 Sales Dollars by Product to Break Even: 28 29 30 31 5 Current Contribution Margin Income Statement Break Even: 32 33 34 35 Probem Froblem A Problem B Problem D. e 4f 4 Pagctvie Prolemn Engish(VS 340% T- Average; Sum: 0 Activities LibreOffice Calc Jun 5 21:02:46 93 18.5 C Summer 2019 Module 5 Excel Workbook Assianment.xlsx- LibreOffice Calc File Fdit View Insert Farmat Styles Sheet Data Tacls Wincow Help - A I U A == % 74 00 00 Calibri 11 A37 A 17 G Hi M 38 39 40 Required: 1What is the current break-even point in units for both products combined? 6 Contribution Margin Income Statement at Current Sales: 41 f each product that esold at the c d reak-even point? 2What is the number of units for 4 How much, in sales dollars, of each product does the company currently need to sell break-even point? (2 points) th AA 5 Show the Current Contribution Margin Income Statement at Break-Even. 6 Show the Contribution Margin Income Statement 7 Margin of Safety at Current Sales Level: 45 t the Current Sales Level. 46 7 What Is the Margin of Safety at the Current Sales Level? 4/ The Company is working on budgets for next year and plans a 10 % increase in Target Pretax Income; a 10 % increase in both Selling Price and Variable Cost; and a 20 % increase in Fixed Costs, keeping the Current Sales Mix 50 consta 49 Dollars 8 Contribution Margin Income Statement at the Target Level of Pretax Income: 51 8Show the Contribution Margin Income Statement at the Target Pretax Income Level. HINT-you need to start at the bottom of the Contribution Margin Income Statement and work your way up to the top to figure this out. 57 EA each Product to reach Target Pretax Income: 9What is the Sales Unit Volume of each product needed to achieve the Target Level of Pretax Income? 9 Units 10What Is the Margin of Safety at the Target Sales Level? 55 56 Check Figures: Item 4: Doors $888,462; Check Figure for handles is not provided. 57 Item 6: Total Contribution Margin = $5,980,000; Item 8: Handles Pre-Tax Target Income $3,078,570; Check Figure for Doors is not provided. 58 10 Margin of Safety at Target Sales Level: 59 61 63 64 65 66 67 Problem D. Froblem A Problem E Probiem C. Pagctvie Prolemn Engish (USA | 240% Average Sum o T- See 4of 4Step 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