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Ivanhoe Company bottles and distributes B-Lite, a diet soft drink. The beverage is sold for 50 cents per 16-ounce bottle to retailers, who charge customers
Ivanhoe Company bottles and distributes B-Lite, a diet soft drink. The beverage is sold for 50 cents per 16-ounce bottle to retailers, who charge customers 75 cents per bottle. For the year 2022. management estimates the following revenues and costs. Sales $1,650,000 Selling expenses-variable $76,500 Direct materials 460,000 Selling expenses--Fixed 51,000 Direct labor 330,000 Administrative expenses --variable 21,000 Manufacturing overhead-variable 350,000 Administrative expenses --Fixed 99,000 Manufacturing overhead-fixed 180,000 IVANHOE COMPANY CVP Income Statement (Estimated) For the Year Ending December 31, 2022 Sales $ 1650000 Variable Expenses Cost of Goods Sold $ - 1140000 Selling Expenses -76500 i Administrative Expenses -21000 i 1237500 i Total Variable Expenses Contribution Margin 412500 Fixed Expenses - 180000 Cost of Goods Sold 51000 i Selling Expenses 99000 Administrative Expenses 330000 Total Fixed Expenses 82500 Net Income/(Loss) X Your answer is incorrect. Calculate variable cost per bottle. (Round variable cost per bottle to 3 decimal places, eg, 0.251.) Variable cost per bottle 1375 Solution Attempts: 1 of 1 used (62) Compute the break-even point in (1) units and (2) dollars. (Round answers to decimal places, es. 1.225) (1) Compute the break-even point units (2) $ Compute the break-even point
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