Question
Kindly answer the following questions in each of the following independent questions:a. Hess Inc. sells a single product with a contribution margin of P12 per
Kindly answer the following questions in each of the following independent questions:a. Hess Inc. sells a single product with a contribution margin of P12 per unit and fixed costs of P74,400 and sales for the current year of P100,000. How much is the Hess breakeven point?
b. Hartley Inc. has one product with a selling price per unit of P200, the unit variable cost is P75, and the total monthly fixed costs are P300,000. How much is the Hartleys contribution margin ratio? c. Forms Inc. wants to sell a sufficient quantity of products to earn a profit of P40,000. If the unit sales price is P10, unit variable cost is P8, and total fixed costs are P80,000, how many units must be sold to earn the target profit? d. How much peso sales are required to earn a target income of P80,000 if total fixed costs are P100,000 and the contribution margin ratio is 40%?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started