Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

(Information from the previous part is in the attached image) Answer 1 Particulars High end Set Economical Set Per Unit Per Unit Sales 3,500.00 1,000.00

(Information from the previous part is in the attached image)

image text in transcribed
Answer 1 Particulars High end Set Economical Set Per Unit Per Unit Sales 3,500.00 1,000.00 b Labor 875.00 250.00 C Material 1,400.00 S 300.00 d -(b+c) Contribution S 1,225.00 $ 450.00 Contribution Margin (d/a*100) 35% 45% Particulars High end Set Economical Set Answer 2 Break even quantity = Fixed Cost / Contribution per Unit ($25000 + $85000) / 1225 per unit 89.80 or 89 units per month (89.80 x 12 months) 1077.60 or 1088 units per year ($16500+$85000)/450 per unit 225.56 or 226 units per month (225.56 units x 12 months) 2706.72 or 2707 units per year Particulars High end Set Economical Set Answer 3 | Break even quantity to earn proft & 4 $500,000 per year (Fixed Cost per year + Desired Profit) ={($25000+$85000) x 12 + ={(16,500+$85,000)*12 + / Contribution per unit $500,000} / 1225 per unit $300,000}/450 per unit =$1,820,000 /1225 $1,518,000/450 1485.71 or 1486 units 3373.33 or 3373 units

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Payroll Accounting

Authors: Bernard J Bieg, Judith A Toland

29th Edition

1337673196, 9781337673198

More Books

Students also viewed these Accounting questions