Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please answer ALL of these questions i dont have many left Question 20 (1 point) BIRKENSTOCK CVP PROBLEM: Birkenstock is considering adding a new Big

please answer ALL of these questions i dont have many left
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Question 20 (1 point) BIRKENSTOCK CVP PROBLEM: Birkenstock is considering adding a new Big Buckle sandal to its current product offerings. Birkenstock expects to price the shoes at $135 per pair. The variable costs to produce one pair are estimated to be: $20 per pair direct materials: $25 per pair direct labor: $5 per pair shipping costs and $5 per pair miscellaneous overhead. The fixed costs for this line of shoes are: $50,000 advertising/promotion: $150,000 manufacturing plant manager salary: $300,000 depreciation expense on manufacturing equipment; and $50,000 other miscellaneous fixed costs. How many pairs of sandals does Birkenstock need to sell to break even? 10,000 pairs 6,875 pairs de 5: 3,875 pairs 4,074 pairs ge 6: Question 21 (1 point) BIRKENSTOCK CVP PROBLEM: Birkenstock is considering adding a new Big Buckle sandal to its current product offerings. Birkenstock expects to price the shoes at $135 per pair. The variable costs to produce one pair are estimated to be: $20 per pair direct materials: $25 per pair direct labor; $5 per pair shipping costs and $5 per pair miscellaneous overhead. The fixed costs for this line of shoes are: $50,000 advertising/promotion; $150,000 manufacturing plant manager salary; $300,000 depreciation expense on manufacturing equipment; and $50,000 other miscellaneous fixed costs. What is "breakeven sales dollars" for Birkenstock? $523,125 $550,000 $928,125 $945,160 Question 22 (1 point) BIRKENSTOCK CVP PROBLEM: Birkenstock is considering adding a new Big Buckle sandal to its current product offerings. Birkenstock expects to price the shoes at $135 per pair. The variable costs to produce one pair are estimated to be: $20 per pair direct materials: $25 per pair direct labor; $5 per pair shipping costs and $5 per pair miscellaneous overhead. The fixed costs for this line of shoes are: $50,000 advertising/promotion; $150,000 manufacturing plant manager salary; $300,000 depreciation expense on manufacturing equipment; and $50,000 other miscellaneous fixed costs. If Birkenstock's target profit for the year for this line of sandals is $2,000,000, how many pairs does the company need to sell to reach this target profit? 31,875 pairs 43,185 pairs 18,125 pairs 25,000 pairs Question 23 (1 point) BIRKENSTOCK CVP PROBLEM: Birkenstock is considering adding a new Big Buckle sandal to its current product offerings. Birkenstock expects to price the shoes at $135 per pair. The variable costs to produce one pair are estimated to be: $20 per pair direct materials; $25 per pair direct labor; $5 per pair shipping costs and $5 per pair miscellaneous overhead. The fixed costs for this line of shoes are: $50,000 advertising/promotion; $150,000 manufacturing plant manager salary: $300,000 depreciation expense on manufacturing equipment; and $50,000 other miscellaneous fixed costs. If Birkenstock's best guess is that they will sell 40,000 pairs of this line of sandals in the current year, what is the company's expected profit for the year? $2,500,000 $3,200,000 $2,650,000 $5,400,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

SAP Audit Black Book

Authors: Bhushan Jairamdas Mamtani

1st Edition

9351194086, 978-9351194088

More Books

Students also viewed these Accounting questions