I cannot seem to get the right answer for questions 5, 6, and 7 only. For question 5 I got 127,990 units and that is incorrect. Question 6 I got 137,876 and that is wrong. Also, question 7 I got 56,055 loss and that is incorrect as well. Just need help with those three.
Module 4 Assignment eBook Show Me How Print Item Calcutatdiompute the break-even sales (units) under the proposed program or the ollowing year. Enter the inal answers 1_ BE_0502,A|_GO rounded to the nearest whole number. 5. Determine the amount of sales (units) that would be necessary under the proposed program to realize the 3_ EX.O5-O1 $77,350 of income from operations that was earned in the current year. Enter the final answers rounded to the 2. BE.O5-03.ALGO nearest whole number. 4. PR.05-02A.ALGO [: units 6. Determine the maximum income from operations possible with the expanded plant. Enter the final answer rounded to the nearest dollar. $[:J 7. If the proposal is accepted and sales remain at the current level, what will the income or loss from operations be for the following year? Enter the final answer rounded to the nearest dollar. $:l' 8. Based on the data given, would you recommend accepting the proposal? In favor of the proposal because of the reduction in break-even point. In favor of the proposal because of the possibility of increasing income from operations. In favor of the proposal because of the increase in break-even point. Reject the proposal because if future sales remain at the current level, the income from operations will increase. Reject the proposal because the sales necessary to maintain the current income from operations would be below the current year sales. EDP-OP"? Choose the correct answer. v Module 4 Assignment eBook Show Me How Print Item Calculator 1' BE.05-02.ALGO Determine the amount of sales (units) that would be necessaw under Break-Even Sales Under Present and Proposed Conditions 2' BE.O5-03.ALGO Darby Company, operating at full capacity, sold 122,850 units at a price of $51 per unit during the current year. Its income statement for the current year is as follows: 3. EX.05-01 Sales $6,265,350 4- PR-05'02A-ALGO Cost of goods sold 3,094,000 Gross profit $3,171,350 Expenses: Selling expenses $1,547,000 Administrative expenses 1,547,000 Total expenses 3,094,000 Income from operations $77,350 The division of costs between fixed and variable is as follows: Variable Fixed Cost of goods sold 70% 30% Selling expenses 75% 25% Administrative 50% 50% expenses Management is considering a plant expansion program that will permit an increase of $561,000 in yearly sales. The expansion will increase fixed costs by $56,100, but will not affect the relationship between sales and variable costs. . Check M Work ( Previous Progress: 4/4 Items Module 4 Assignment eBook Show Me How Print Item Calculator 1. BE.05-02.ALGO Required: ? 2. BE.05-03.ALGO 1. Determine the total variable costs and the total fixed costs for the current year. Enter the final answers rounded to the nearest dollar. 3. EX.05-01 Total variable costs 4. PR.05-02A.ALGO Total fixed costs 2. Determine (a) the unit variable cost and (b) the unit contribution margin for the current year. Enter the final answers rounded to two decimal places. Unit variable cost Unit contribution margin 3. Compute the break-even sales (units) for the current year. Enter the final answers rounded to the nearest whole number. units 4. Compute the break-even sales (units) under the proposed program for the following year. Enter the final answers rounded to the nearest whole number. units 5. Determine the amount of sales (units) that would be necessary under the proposed program to realize the $77,350 of income from operations that was earned in the current year. Enter the final answers rounded to the nearest whole number. units
