Poole Corporation has collected the following information after its first year of operations Net sales were $1 6 million on 100,000 units, selling expenses were $240,000 (40 variable and 60 fixed), direct materials were $511,000, direct labor was $285,000, administrative expenses were $280,000 (20 variable and 80 fixed), and manufacturing overhead was $360,000 (70 variable and 30 fixed) Top management has asked you to do a CVP analysis so that it can make plans for the coming year Management has projected that unit sales will increase by 10 next year Assume no change in the selling price of the units Instructions a Calculate (1) the contribution margin for the first year and the projected year, and (2) the fixed costs for the current year (Assume that fixed costs will remain the same in the projected year ) b Calculate the break even point in units and sales dollars for the first year Question 2 Poole Corporation has collected the following information after its first year of operations Net sales were $1 6 million on 100,000 units, selling expenses were $240,000 (40 variable and 60 fixed), direct materials were $511,000, direct labor was $285,000, administrative expenses were $280,000 (20 variable and 80 fixed), and manufacturing overhead was $360,000 (70 variable and 30 fixed) Top management has asked you to do a CVP analysis so that it can make plans for the coming year Management has projected that unit sales will increase by 10 next year Assume no change in the selling price of the units Instructions a Calculate (1) the contribution margin for the first year and the projected year, and (2) the fixed costs for the current year (Assume that fixed costs will remain the same in the projected year ) b Calculate the break even point in units and sales dollars for the first year

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Poole Corporation has collected the following information after its first year of operations. Net sales were $1.6 million on 100,000 units, selling expenses were $240,000

Poole Corporation has collected the following information after its first year of operations. Net sales were $1.6 million on 100,000 units, selling expenses were $240,000 (40% variable and 60% fixed), direct materials were $511,000, direct labor was $285,000, administrative expenses were $280,000 (20% variable and 80% fixed), and manufacturing overhead was $360,000 (70% variable and 30% fixed). Top management has asked you to do a CVP analysis so that it can make plans for the coming year. Management has projected that unit sales will increase by 10% next year. Assume no change in the selling price of the units. Instructions a. Calculate (1) the contribution margin for the first year and the projected year, and (2) the fixed costs for the current year. (Assume that fixed costs will remain the same in the projected year.) b. Calculate the break-even point in units and sales dollars for the first year. image text in transcribed

Question 2 Poole Corporation has collected the following information after its first year of operations. Net sales were $1.6 million on 100,000 units, selling expenses were $240,000 (40\% variable and 60% fixed), direct materials were $511,000, direct labor was $285,000, administrative expenses were $280,000 (20\% variable and 80% fixed), and manufacturing overhead was $360,000 (70\% variable and 30% fixed). Top management has asked you to do a CVP analysis so that it can make plans for the coming year. Management has projected that unit sales will increase by 10% next year. Assume no change in the selling price of the units. Instructions a. Calculate (1) the contribution margin for the first year and the projected year, and (2) the fixed costs for the current year. (Assume that fixed costs will remain the same in the projected year.) b. Calculate the break-even point in units and sales dollars for the first year