PA6-4 (Algo) Analyzing Break-Even Point, Target Profit, Degree of Operating Leverage [LO 6-1, 6-2, 6-5] Ramada Company produces one golf cart model. A partially complete table of company costs follows: Number of golf carts produced and sold Total costs Variable costs Fixed costs per year Total costs Cost per unit Variable cost per unit Fixed cost per unit Total cost per unit 600 $ ? ? ? ~~ ? ? ? 800 $ 624,000 240,000 $ 864,000 ? ? ? 1,000 $ ? ? ? ? ? ? Required: 1. Complete the table. 2. Ramada sells its carts for $1,950 each. Prepare a contribution margin income statement for each of the three production levels given in the table. 4. Calculate Ramada's break-even point in number of units and in sales revenue. Ramada sells its carts for $1,950 each. 5. Assume Ramada sold 300 carts last year. Without performing any calculations, determine whether Ramada earned a profit last year. 6. Calculate the number of carts that Ramada must sell to earn $52,500 profit. Ramada sells its carts for $1,950 each. 7. Calculate Ramada's degree of operating leverage if it sells 850 carts. Ramada sells its carts for $1,950 each. 8. Using the degree of operating leverage, calculate the change in Ramada's profit if sales are 20 percent less than expected.

Complete the table. Note: Round your "Cost per Unit" answers to 2 decimal places. Using the degree of operating leverage, calculate the change in Ramada's profit if sales are 20 percent less than expected. Note: Do not round your intermediate calculations. Round your answer to 3 decimal places. (1.e. 0.12345 should be entered as 12.345%.). Assume Ramada sold 300 carts last year. Without performing any calculations, determine whether Ramada earned a profit last year. Ramada sells its carts for $1,950 each. Prepare a contribution margin income statement for each of the three production levels given in the table. Calculate Ramada's break-even point in number of units and in sales revenue. Ramada sells its carts for $1,950 each. Note: Do not round your intermediate calculations, Round your "Unit" and "Sales Revenue" answers to the nearest whole number. Calculate the number of carts that Ramada must sell to earn $52,500 profit. Ramada sells its carts for $1,950 each. Note: Do not round your intermediate calculations. Calculate Ramada's degree of operating leverage if it sells 850 carts. Ramada sells its carts for $1,950 each. Note: Do not round your intermedlate calculations. Round your answer to 4 decimal places. PA6-4 (Algo) Analyzing Break-Even Point, Target Profit, Degree of Operating Leverage [LO 6-1, 62,65] Ramada Company produces one golf cart model. A partially complete table of company costs follows: Required: 1. Complete the table. 2. Ramada sells its carts for $1,950 each. Prepare a contribution margin income statement for each of the three production levels given in the table. 4. Calculate Ramada's break-even point in number of units and in sales revenue. Ramada sells its carts for $1,950 each. 5. Assume Ramada sold 300 carts last year. Without performing any calculations, determine whether Ramada earned a profit last year. 6. Calculate the number of carts that Ramada must sell to earn $52,500 profit. Ramada sells its carts for $1,950 each. 7. Calculate Ramada's degree of operating leveroge if it sells 850 carts. Ramada sells its carts for $1,950 each. 8. Using the degree of operating leverage, calculate the change in Ramada's profit if sales are 20 percent less than expected