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pls solve asap Problem 4-20 Sales Mix; Multi-Product Break-Even Analysis [LO9] Smithen Company, a wholesale distributor, has been operating for only a few months. The
pls solve asap
Problem 4-20 Sales Mix; Multi-Product Break-Even Analysis [LO9] Smithen Company, a wholesale distributor, has been operating for only a few months. The company sells three products-sinks, mirrors, and vanities. Budgeted sales by product and in total for the coming month are shown below based on planned unit sales as follows: Units Percentage 1,000 50% Sinks Mirrors 500 25% Vanities 500 25% Total 2,000 100% Sinks Product Mirrors 20% Percentage of total sales Sales 48% $468,000 100.00% $195,000 Vanities Total 32% 100% 100.00% $312,000 100.00% $975,000 100.00% 37.95% 90,000 28.85% 214,500 22.00% Variable expenses 76,000 16.24% 74,000 Contribution margin $392,000 83.76% $121,000 62.05% $222,000 71.15% 760,500 78.00% Contribution margin per unit $ 392.00 $ 242.00 $ 444.00 Fixed expenses 714,600 $ 45,900 Operating income Break-even point in sales dollars i Fixed expenses Overall CH ratio Total Fixed expenses Weighted-average CM per unit $714,600 $367.50 0.25) ($444.00 x 0.25) Break-even point in unit sales: -($392,00 x 0.50)+ ($242.00 I $714,600 0.78 1,944.49 units $916,153.85 As shown by these data, operating income is budgeted at $45,900 for the month, break-even sales dollars at $916,153.85, and break- even unit sales at 1,944.49. Assume that actual sales for the month total $982,800 (2,100 units), with the CM ratio and per unit amounts the same as budgeted. Actual fixed expenses are the same as budgeted, $714,600. Actual sales by product are as follows: sinks, $245,700 (525 units); mirrors, $409,500 (1,050 units); and vanities, $327,600 (525 units). Required: 1. Prepare a contribution format income statement for the month based on actual sales data. (Round your answers to 2 decimal places.) SMITHEN COMPANY Contribution Margin Income Statement Product Mirrors Vanities Total Sinks $ Percentage of total sales 100.00 % $ 100,00 % $ $ 0.00 0.00 Operating income (loss) % % 0.00 % $ % 0.00% $ 100.00 % THULE 0.00 % % 0.00% $ 100.00 % 0.00 0.00 0.00% 2. Compute the break-even point in sales dollars for the month, based on the actual data. (Round your percentage answers to nearest whole percent. Round other intermediate values and final answer to the nearest whole dollar.) Break-even point in sales dollars 3. Calculate the break-even point in unit sales for the month, based on the actual data. (Do not round your intermediate calculations. Round your final answer to the nearest whole number.) Break-even point in unt sales 4. This part of the question is not part of your Connect assignment. 4 of 5 Step by Step Solution
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