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Jorge 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
Jorge 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 2017, management estimates the following revenues and costs. $1,840,000 Selling expenses-variable $50,000 Sales Direct materials Direct labor Manufacturing overhead-variable Manufacturing overhead-fixed 440,000 Selling expenses-fixed 320,000 Administrative expenses-variable 350,000 498,000 50,000 Administrative expenses-fixed 54,000 Calculate variable cost per bottle. (Round variable cost per bottle to 3 decimal places, eg. 0.251.) Variable cost per bottle $ 0.325 eTextbook and Media (b2) Your answer is correct. Compute the break-even point in (1) units and (2) dollars. (Round answers to O decimal places, eg. 1,225.) 1) Compute the break-even point 3440000units mpute the break-even point 1720000 Compute the contribution margin ratio and the margin of safety ratio. (Round variable cost per bottle to 3 decimal places, e.g. 0.25 and final answers to O decimal places, eg. 25%) Contribution margin ratio 35 | 96 Margin of safety ratio 6.52 | 96 eTextbook and Media Attempts: 1 of 5 used d) X Your answer is incorrect. Determine the sales dollars required to earn net income of $ 64,750. (Round answer to O decimal places, e.g. 1,225) Required sales dollars $ 1700000
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