Question
Please answer the following questions correctly and show your work: 1. Sales revenue is $320,000, fixed costs are $108,000, and variable costs are $128,000. What
Please answer the following questions correctly and show your work:
1. Sales revenue is $320,000, fixed costs are $108,000, and variable costs are $128,000. What is the break even sales revenue?
2. Fixed costs are $137,500, and variable costs are 45%. What required sales revnenue is needed to achieve an operating income of $84,000?
3. Fixed costs are $240,000, and the contribution margin is 48%. Assuming the manager's salary will increase by $12,000 a year, at what level of sales revenue will operating income be maintained at $47,880.
4. Fixed costs are $53,400, and average check is $12.95 with average variable costs of $7.38. What are break-even units?
5. Fixed costs are $62,400, and average contribution margin is $2.08. What are required sales units to achieve an operating income of $25,000?
6. What is the pretax income level for a hotel, if the owner wanted to recieve a 14% ROI based on an investment of $1,500,000 and a tax rate of 25%
7. Sales revenue is $462,000 with variable costs averaging 44%. Fixed costs are $188,000. What sales revnue must be achieved to provide a net income after tax of $50,400 based on a tax rate of 28%.
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