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Please help with the Multiproduct Target Profit Point and Sales revenue at Target Profit and Margin of Safety, Margin of Safey Percentage, and Operating Leverage
Please help with the Multiproduct Target Profit Point and Sales revenue at Target Profit and Margin of Safety, Margin of Safey Percentage, and Operating Leverage Factor, and lastly Expected % change in operating income (%). This can be solved with the data provided in the document.
Product #1 Unit CM CM % Breakeven point: Launch-it Jake's Pet Supplies Pro Forma Contribution Margin Income Statement For the month ending June 30 ASSUMPTIONS nch-it Product #1: Launch it ales price per unit ariable costs per unit: Launch It Purchase Cost Shipping and handling Sales Commission Per Unit Total variable cost per unit 60 in units 250.00 Total Sales price Less: variable costs Contribution Margin Less: fixed costs Operating income $2,000 $800 $1,200 $3,000 $1,800 $1,200 in sales revenue 2,500.00 $2,600 arget profit volume in units 1583.33 Monthly volume 200 sales revenue $15,833.33 WACM % Product #2: Treat Time Sales price per unit ariable costs per unit Treat Time Purchase Costs Shipping and Handling Sales Commision Per Unit Total variable cost per unit Treat-time 48 $12.00 40 Unit CM Calculation of Wei average CM per unit Breakeven point -in units -in sales revenue Total M/unit Sales mix (# sold of each Contribution margin 5 $12.00 100 1200.00 125.00 3750.00 200 1200.00 2400 Monthly volume Target profit volume WACM/unit 791.67 23750.00 -in units Fixed costs per month -in sales revenu Work Contract Entry Fees Total fixed costs per month $1,000 $500 $1,500 Multiproduct Breakeven point: Total -in units 188 188 375 Target profit per month $8,000 Contribution Margin 1200.00 Sales revenue at breakeven Product 2 Expected chang in volume (%) 15% Contribution Margin 1200.00 Multiproduct Target profit point: Total -in units Margin of Safety (in $) Margin of Safety % Operating Leverage Factor Expected % change in operating income (%) 38% 2.67 Product #1 Unit CM CM % Breakeven point: Launch-it Jake's Pet Supplies Pro Forma Contribution Margin Income Statement For the month ending June 30 ASSUMPTIONS nch-it Product #1: Launch it ales price per unit ariable costs per unit: Launch It Purchase Cost Shipping and handling Sales Commission Per Unit Total variable cost per unit 60 in units 250.00 Total Sales price Less: variable costs Contribution Margin Less: fixed costs Operating income $2,000 $800 $1,200 $3,000 $1,800 $1,200 in sales revenue 2,500.00 $2,600 arget profit volume in units 1583.33 Monthly volume 200 sales revenue $15,833.33 WACM % Product #2: Treat Time Sales price per unit ariable costs per unit Treat Time Purchase Costs Shipping and Handling Sales Commision Per Unit Total variable cost per unit Treat-time 48 $12.00 40 Unit CM Calculation of Wei average CM per unit Breakeven point -in units -in sales revenue Total M/unit Sales mix (# sold of each Contribution margin 5 $12.00 100 1200.00 125.00 3750.00 200 1200.00 2400 Monthly volume Target profit volume WACM/unit 791.67 23750.00 -in units Fixed costs per month -in sales revenu Work Contract Entry Fees Total fixed costs per month $1,000 $500 $1,500 Multiproduct Breakeven point: Total -in units 188 188 375 Target profit per month $8,000 Contribution Margin 1200.00 Sales revenue at breakeven Product 2 Expected chang in volume (%) 15% Contribution Margin 1200.00 Multiproduct Target profit point: Total -in units Margin of Safety (in $) Margin of Safety % Operating Leverage Factor Expected % change in operating income (%) 38% 2.67Step by Step Solution
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