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need help on requirment 4 and 5 The contribution margin income statement of Unique Donuts for August 2018 follows (Click the icon to view the
need help on requirment 4 and 5
The contribution margin income statement of Unique Donuts for August 2018 follows (Click the icon to view the contribution margin income statement) Requirement 1. Calculate the weighted average contribution margin (Round all currency amounts to the nearest cent) Plain Total Filled 7.00 400 160 2.80 Sales price per unit Variable cost per unit Contribution margin per unit Sales mix in units 2.40 420 4 1 420 2.76 Fixed costs Contribution margin 9.60 13.80 Weighted average contribution margin per unit Requirement 2. Determine Unique's monthly breakeven point in dozens of plain donuts and custard-filled donuts. Prove your answer by preparing a su We'll begin with the breakeven point. Start by selecting the formula and entering the amounts to compute the breakeven point in units for the package used: Weighted-avg CM = weighted average contribution margin.) Target profit Weighted avg CM per unit = Required sales in units 33120 2.76 = 12000 Determine Unique's monthly breakeven point in dozens of plain donuts and custard-filled donuts The breakeven point is 9600 dozen plain donuts and 2400 dozen custard-Filled donuts Prove your answer by preparing a summary contribution margin income statement at the breakoven level of sales Show only two categories of costs va Unique Donuts Contribution Margin Income Statement Plain Filled Total Net Sales Revenue 38400 16800 55200 15360 6720 22080 Variable Costs 23040 Contribution Margin 10080 33120 33120 Fixed Costs PENDE Requirement 3. Compute Unique's margin of safety in dollars for August 2018. (The contribution margin income statement provided should be used to determine any Expected sales in dollars Breakeven sales in dollars Margin of safety in dollars 130000 55200 74800 Requirement 4. Compute the degree of operating leverage for Unique Donuts. Estimate the new operating income il total sales increase by 20% (Round the degree Begin by computing the degree of operating leverage for Unique Donuts (Round the degree of operating leverage to four decimal places, XXXXX) Contribution margin Operating income Degree of operating leverage 78000 44880 17379 Estimate the new operating income if total sales increase by 20% (Round interim calculations to four decimal places and your final answer to the nearest dollar Assun The estimated operating income will be Requirement 5. Prove your answer to Requirement d by preparing a contribution matgin Income statement with a 20% increase in total ualen (The sales mix remains Unique Donuts Contribution Margin income Statement Month Ended August 31, 2018 Net Sales Revenge Variable Costs Contribution Margin Fixed Costs Operating Income Data table Requirements d anged 1. Calculate the weighted average contribution marga 2. Determine Unique's monthly breakeven point in ons of plain dants and custarded donuts. Prove your answer by preparing a summary contribution margin income statement at the breakawan level of sales Show only two Categories of cost variable and feed 3. Compute Unique's margin of safety in dollars for August 2018 4. Compute the degree of operating leverage for Unique Donuts Estimate the new operating income sales increase by 20% (Round the degree of operating leverage to four decimal places and the finalwer to the rest dollar Assume the sales mains unchanged) 5. Prove your www to Requirement 4 by preparing a continmagin income statement with a 20% increase in wes (The sales microone unchanged) Uni Bonus Contribution Margin income Statement Month Ended August 2011 Net Salon Heren $ 130.000 Variable Cash Cost of Good Sold 3 32.100 Seling Co 17.30 Adminivet 2,000 52.00 Canon Margie 78,000 Plod Sering Costs 24540 Anistrative Costa 0.289 32.120 1880 Operating com 171 Boto mes Print Done Print Done Step by Step Solution
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