Question
Question 1: Financial Analysis for Apple's Product Line Apple Inc. manufactures three types of products: iPhones, iPads, and MacBooks. For the current financial year, the
Question 1: Financial Analysis for Apple's Product Line
Apple Inc. manufactures three types of products: iPhones, iPads, and MacBooks. For the current financial year, the following data has been provided:
Product | Sales (Units) | Sales Price per Unit | Variable Cost per Unit | Fixed Cost |
iPhone | 200,000 | $1,000 | $600 | $20,000,000 |
iPad | 150,000 | $800 | $500 | $15,000,000 |
MacBook | 100,000 | $1,500 | $900 | $25,000,000 |
Requirements:
- Prepare the Income Statement for each product line.
- Calculate the Contribution Margin for each product.
- Determine the Break-Even Point in units for each product.
- Prepare a summary statement showing the overall profitability of Apple Inc.
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Financial Accounting an introduction to concepts, methods and uses
Authors: Clyde P. Stickney, Roman L. Weil, Katherine Schipper, Jennifer Francis
13th Edition
978-0538776080, 324651147, 538776080, 9780324651140, 978-0324789003
