Make sure you fill in all Yellow cells. Yellow cells left blank will receive zero credit. Alternate Problem D Complete the requested informative presented below in each independent situation 43 points Determine the contribution margin per unit and the break even gint in units for Cowboys Company that has fixed costs of $63,000, variable cost of $24,50 per unit, and a selling price of $35.00 per un b. Wildcats Company has fixed costs of $56,000. In March, sales were 5670,000, and variable costs were 3586,000, Compute the contribution margin ratio and the break-even point in sales dollars. c. Hoosiers Company had sales in June of 584,000, variable costs of $46,200, and fixed costs of $50,400. At what level of sales, in dollars, would the company break even? d. What would the break-even point in sales dollars have been in () if variable costs had been 10% higher? e. What would the break-even point in sales dollars have been in (c) if fixed costs had been 10% higher 1. Which option would you suggest for Hoosiers-keep pricing the same, increase variable costs by 10%, or increase fixed costs by 10967 Why? Alternate Problem D a. Cowboys Company Determine the contribution margin per unit and the break-even point in sale units for Cowboys Company that has fixed costs of 563,000, variable cost of $24.50 per unit, and a selling pria of S15.00 per nit. Step 1: To compute the BE in Units we first have to compute the Contribution Margin (CM) per Unit Contribution margin per unit sales price / unit variable cost/ unit Breakeven in Units Fixed Costs CM per unit units Programa Alerte Problem D b. Wildcats Company I Wildcats Company has fixed costs of $56,000. In Mareh, sales were 5670,000, and variable costs were $536,000. Compute the contribution margin ratio and the break even point dollars. Step 1 To compute the BE we first have to compute the Contribution Margin (CM) Contribution margin sales price variable cost Step 2: To compute the BE in Sales Dollars we first have to compute the Contribution Margin (CM) Ratio CM ratio CM or Sales - Variable Costa) Sales Breakeven in Sales Dol Fixed Costs OM ratio c. Hoosiers Company c. Hoosiers Company had sales in June of 584,000; variable costs of 546,200; and fixed costs of $50,400. At what level of sales, in dollars, would the company break even? Step 1: To compute the BE we first have to compute the Contribution Margin (CM) Contribution margin ales price variable cost Step 2: To compute the BE in Sales Dollars we first have to compute the Contribution Margin (CM) Ratio CM of Sales - Variabile Costs INT CM ratio Breakeven in Sales Dot Ford Costa CM radio d. Hoosiers Company 4. What would the break-even point in sales dollars have been for Hoosiers Company in (e) if variable costs had been 10% higher? Step 1: To compute the DE we first have to compute the Contribution Margin (CM) Contribution margin sales price variable cost Step 2: To compute the BE in Sales Dollars we first have to compute the Contribution Margin (CM) Ratio CM ratio CM or Sales - Variable Costs Sales (Do Not Round) Breakeven in Sales Dol Fixed Costs CM ratio (Round to nearest cont. 2 decimal places e. Hoosiers Company e. What would the break-even polation sales dollars have been for Hosier Company in (e) if fixed costs had been 10% higher? Step 1: To compute the BE we first have to compute the Contribution Margin (CM) Contribution margin sales price variable cost Step 2. To compute the BE in Sales Dollars we first have to compute the Contribution Margin (CM) Ratio CM ratie CM or (Salers-Variable costs Sale Breakeven in Sales Dol Ford Costs CM rato
