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please i need it with explainations Current Attempt in Progress The condensed budgeted income statement for the Karen and Paul partnership for 2022 is as
please i need it with explainations
Current Attempt in Progress The condensed budgeted income statement for the Karen and Paul partnership for 2022 is as follows: Acost behaviour analysis indicates that 75% of the cost of goods sold is variable, 42% of the seling expenses are variable and 40 of of the administrative expenses are variable. (Use the CVP incomestatement format in calculating operating ficome) A cost behaviour analysis indicates that 75% of the cost of goods sold is variable, 42% of the selling expenses are variable, ind 40% of the administrative expenses are variable. (Use the CVP income statement format in calculating operating income.) Calculate the break-even point in total sales dollars and in units for 2022. (Round contribution margin per unit to 2 decinal poces es. 1.25, contribution margin ratio to 1 decimal place, es. 15.2), and final answers to Odecimal places, eg 5.275.) Karen has proposed a plan to get the partnership "out of the red" and improve its profitability. She feels that the quality of the jroduct could be subrtantially improved by spending $0.30 more per unit on better raw materials. The selling price per unit cauld be increased to only $5.30 because of competitive pressures. Karen estimates that sales volume will increase by 25. Calculate the break-even point in total sales dollars and in units under the proposed plan. (Round contribution morgin per unit araf contribution margin rablo to 2 decimal ploces, eg, 15.25 or 15.25% and final answers to 0 decimal places, eg. 5.275. What effect would Karef's plan have on the partnership's operating income and its break-even point in dollars? This plan would effect on the break-even point in units. but break-even point in sales dolars beca it the operating income before tax from a Step by Step Solution
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