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just do the part e Problem No.4 (20%) Iron Decor manufactures decorative iron fences. In preparing for next year's operations, management has developed the following

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just do the part e
Problem No.4 (20%) Iron Decor manufactures decorative iron fences. In preparing for next year's operations, management has developed the following estimates (budget): ( assumed the Units Sold = Units Produced and the Tax Rate is 30 %) Budgeted amount for the year Total Per Unit Sales (20,000 units) $1,000,000 $50.00 Direct materials $200,000 $10.00 Direct labor (variable) $180,000 $ 9.00 Variable manufacturing overhead $100,000 $ 5.00 Variable selling and administrative expense $120,000 $ 6.00 Fixed manufacturing overhead $90,000 Fixed selling and administrative expense $80,000 Required: a. Compute the break-even sales in UNITS and in DOLLARS (4%) c. Determine the units sold if the company wants to achieve a targeted operating income of $350,000 (4) Tits to be sold to achine Tol RC TOT F +355 d. Determine the units sold if the company wants to achieve a targeted net income of $350,000 (4 %) TNI Units to be sold to achieve TNI = uch 10, omo + E See? 350 de TU DON FUUUUU 53340 e. Based on the original data of the question. If the per unit variable production costs increase by 8%, and if fixed selling and administrative expenses increase by 10%, what will be the new break-even point in UNITS SOLD AND SALES IN DOLLARS? (4%) Now for mit rrible producten onts = 130 ) % 324 i Rued the food 14493 wits Toure = 21 50

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