I have attached a handout. Please have this done

Managerial Accounting Chapter 5 Name: _________________________________ Hardee Company sells a single product. The selling price is $30 per unit and the variable expense is $18 per unit. The company's most recent annual contribution format income statement is given below: Sales........................... Variable Expenses.......... Contribution Margin........ Fixed Expenses.............. Net Operating Income...... $135,000 $81,000 $54,000 $48,000 $6,000 a. b. c. d. e. Compute the contribution margin per unit. $__________ Compute the CM ratio. __________ % Compute the break-even point in sales dollars. $__________ Compute the break-even point in units sold. __________ units. How many units must be sold next year to double the company's profits? __________ units f. Compute the company's degree of operating leverage. __________ g. Sales for next year (in units) are expected to increase by 5%. Using the degree of operating leverage, compute the expected percentage increase in net operating income. __________ % h. Verify your answer to part g above by preparing a contribution format income statement showing a 5% increase in sales Sales........................... Variable Expenses.......... Contribution Margin........ Fixed Expenses.............. Net Operating Income..... $__________ $__________ $__________ $__________ $__________ Dowling College Managerial Accounting Chapter 6 Name: _________________________________ Seaver Company produces and sells two products, X and Y. Data concerning the products follow: Product X Selling Price Per Unit............... $10 Variable Expense Per Unit......... $6 Contribution Margin Per Unit...... $4 Product Y $12 $3 $9 In the most recent month, the company sold 400 units of Product X and 600 units for Product Y. Fixed expense is $5,000 per month. a. Complete the following contribution format income statement for the most recent month (carry percentages to one decimal point): Product X Product Y Total Amount Percent Amount Percent Amount Percent Sales $_____ _____ $_____ _____ $_____ _____ Variable Expenses $_____ _____ $_____ _____ $_____ _____ Contribution Margin $_____ _____ $_____ _____ $_____ _____ Fixed Expenses $_____ Net Income $_____ b. Compute the company's overall break-even point in sales dollars. $_______ c. If the company continues to sell 1,000 units, in total, each month, but the sales mix shifts so that an equal number of units of each product is being sold, would you expect monthly net operating income to rise or fall? Explain. _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _____ d. Refer to the data in part c above. If the sales mix shifts as explained, would you expect the company's monthly break-even point to rise or fall? Explain. _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ _______________________________________________________________________ ____