Please answer the following in Excel

Problem 53A

Compute level of sales needed to break even and earn a specified level of income (L.O. 4)

Jefferson Company has a plant capacity of 100,000 units, at which level variable costs are $720,000. Fixed costs are expected to be $432,000. Each unit of product sells for $12.

Prepare cost-volume- profit chart; compute break-even sales and sales needed to achieve a specified level of income (L.O. 3, 4, 6)

See Right Company makes contact lenses. The company has a plant capacity of 200,000 units. Variable costs are $4,000,000 at 100% capacity. Fixed costs are $2,000,000 per year, but this is true only between 50,000 and 200,000 units.

Required

a. Prepare a cost-volume-profit chart for See Right Company assuming it sells its product for $40 each. Indicate on the chart the relevant range, break-even point, and the areas of net income and losses.

b. Compute the break-even point in units.

c. How many units would have to be sold to earn $200,000 per year?

Compute break-even point in a multiproduct company (L.O. 4)

Mr. Feelds Cookies has fixed costs of $360,000 per year. It sells three types of cookies. The cost and revenue data for these products follow:

		Cookies
		Cream Cake	Goo Fill	Sweet Tooth
	Sales	$64,000	$95,000	$131,000
	Variable costs	38,400	55,100	66,000

Required

Compute the break-even point in sales dollars.

Required

a. Determine the companys break-even point in sales dollars and units.

b. At what level of sales dollars would the company earn net income of $144,000?

c. If the selling price were raised to $14.40 per unit, at what level of sales dollars would the company earn $144,000?

Determine break-even point under varying assumptions (L.O. 4)

a. Determine the break-even point in sales dollars and 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 unit.

b. Wildcats Company breaks even when sales are $280,000. In March, sales were $670,000, and variable costs were $536,000. Compute the amount of fixed costs.

c. Hoosiers Company had sales in June of $84,000; 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 (c) 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?

f. Compute the break-even point in sales dollars for Hoosiers Company in (c) under the assumptions of (d) and (e) together.