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pos) III. Thames Thimepieces is world famous for its precision wristwatches. The company estimates Each watch sells for SP L 450 Variable manufacturing costs VC-MFG

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pos) III. Thames Thimepieces is world famous for its precision wristwatches. The company estimates Each watch sells for SP L 450 Variable manufacturing costs VC-MFG L 38 Variable selling costs VC-SELL 44 Fixed manufacturing costs FC-MFG L 328,900 Fixed G&A expenses FC-G&A L 241,500 a Calculate beakeven in sales units. b Calculate breakeven in sales dollars. What is the CM ratio? dHow many units have to be sold to make a profit 92.000 5 e Going back to the original equation, find the new break-even if If variable costs increase by + VC L If fixed costs increase by + FC 12 88,200 32 f Calculate new breakeven sales dollars. x= D. 35 g What is the new CM ratio? x= 37 38 Using the information in (e) above, how many units will the company have to sell in order to make to make a profit 35,600 39 x I. USE THE HIGH-LOW METHOD TO CALCULATE THE VARIABLE & FIXED COSTS FOR ROBIN COMPANY UTILITIES. | MON COST MH SEP4,550930 17,595 1,385 NOV 8,438 2,164 DEC 9,500 2,580 VARIABLE COST: FIXED COST: 202: E-22 - HIGH-LOW - 2 2 II. CALCULATE PALMER COMPANY VARIABLE & FIXED REPAIR COSTS USING THE HIGH-LOW METHOD. MON JAN FEB MAR APR COST 20,040 18,350 22,550 20,580 UNITS 25,855 22,950 28,950 26,745 33 VARIABLE COST: 35 FIXED COST

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