Question
Legrand Company produces hand cream. In 2018, their financial information is as follows: Each jar sells for: $3.40 Total variable cost (materials, labor, and overhead)
Legrand Company produces hand cream. In 2018, their financial information is as follows: Each jar sells for: $3.40 Total variable cost (materials, labor, and overhead) per jar: $2.55 Total fixed cost: $58,140 Total jars sold in 2018: 81,600 1. Calculate the break-even point in units for Legrand? Must use a formula/calculation in the cell for full credit. (2 points) 2. Calculate the break-even sales dollar? Must use a formula/calculation in the cell for full credit. (2 points) 3. Calculate the margin of safety in units? Must use a formula/calculation in the cell for full credit. (2 points) 4. Prepare an income statement for Legrand Company for 2018. Formulas should be used in the cells to calculate values and proper accounting protocols must be followed. The following items are the accounts for the income statement (they are not listed in order here, but must be in the correct order on your income statement!). (9 points) Sales revenue operating income total contribution margin total variable cost total fixed cost 5. Calculate how many units must be sold for Legrand to earn a profit of $25,500? Must use a formula/calculation in the cell for full credit. (2 points)
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