Required information (The following information applies to the questions displayed below.) Hudson Co. reports the contribution margin income statement for 2017. HUDSON 0 Contribution Margin Income Statement For Year Ended December 31, 2017 sales (11,400 units at $225 each] Variable costs 112,400 units at $180 each) Contribution margin Fixed costs $ 2,565.000 2 052 000 $ 513,000 360.000 $ 153 000 Petasiteeme 1. Compute Hudson Co.'s break-even point in units and. 2. Compute Hudson Co.s break-even point in sales dollars. 1. Break-even point 2 Break-even point 3.000 units $ 1.800,000 Required information (The following information applies to the questions displayed below.) Hudson Co. reports the contribution margin income statement for 2017 HUDSON CO Contribution Margin Income statement For Year Ended December 31, 2017 Sales (11,400 units at $225 each) Variable costs (11,400 units at $180 each) Contribution margin Fixed costs $2,569,000 2,052.000 $ 513,000 360000 IS 153,000 Pretax income 1. Assume Hudson Co. has a target pretax income of $150,000 for 2018. What amount of sales (in dollars) is needed to produce this target income? 2. If Hudson achieves its target pretax income for 2018, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.) 1 Amount of sales 2. Margin of salely % ! Required information The following information applies to the questions displayed below. Hudson Co. reports the contribution margin income statement for 2017 HUDSON Co. Contribution Margin Income statemens FOX Year Ended December 31, 2017 Sales 11,400 units at $225 each) Variable costs 11,400 units at $180 each Contribution margin Fixed coste $24.965,000 2,052,000 $ $13,000 350 000 $ 153,000 Pretax income Assume the company is considering investing in a new machine that will increase its fixed costs by $36.500 per year and decrease its variable costs by $9 per unit. Prepare a forecasted contribution margin income statement for 2018 assuming the company purchases this machine. HUDSON CO Forecasted Contribution Margin Income Statement For Year Ended December 31, 2018 Sales Variable costs Contribution margin Fixed costs Income (prelax) Should the company purchase the machine? Required information (The following information applies to the questions displayed below.) Hudson Co. reports the contribution margin income statement for 2017 HUDSON CO Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (11,400 units at $225 each) Variable costs (12, 400 units at $180 each) Contribution margin Fixed costs $ 2,565,000 2,052,000 $ 513,000 360,000 $ 153,000 Pretax income If the company raises its selling price to $240 per unit. 1. Compute Hudson Co.'s contribution margin per unit. 2. Compute Hudson Co.'s contribution margin ratio. 3. Compute Hudson Co.'s break-even point in units. 4. Compute Hudson Co.'s break-even point in sales dollars. 1. per uni 2 % Contribution margin Contribution margin ratio Break-even point Break-even sales dollars 3. units 4. Required information [The following information applies to the questions displayed below.) Hudson Co. reports the contribution margin income statement for 2017. HUDSON CO Contribution Mazgin Income Statement For Year Ended December 31, 2017 Sales (11,400 units at $225 each) Variable costs 11,400 units at $180 each) Contribution margin Fixed costs $2,565,000 2052,000 $ 513,000 360,000 $13,000 Pretax income The marketing manager believes that increasing advertising costs by $124.000 in 2018 will increase the company's sales volume to 12,800 units. Prepare a forecasted contribution margin income statement for 2018 assuming the company incurs the additional advertising costs. HUDSON CO. Forecasted Contribution Margin Income Statement For Year Ended December 31, 2018 Sales Variable costs Contribution margin Fixed costs Income (pretax Should the company incur the additional advertising costs? Required information [The following information applies to the questions displayed below] Hudson Co. reports the contribution margin income statement for 2017 HUDSON COW Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (11,400 units at $22.5 each) $2,565,000 Variable costs (11,400 units at $180 each) 2,052,000 Contribution margin $ 513,000 Fixed costs 360,000 Pretax income $153,000 1. Compute Hudson Co.'s break-even point in units and. 2. Compute Hudson Co.'s break-even point in sales dollars units 1. Break-even point 2 Break-even point Required information {The following information applies to the questions displayed below.] Hudson Co. reports the contribution margin income statement for 2017. HUDSON Co. Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (11,400 units at $225 each) Variable costs (11.400 units at $180 each) Contribution margin Fixed costs $ 2,565,000 2,052,000 $513,000 360,000 $ 153,000 Pretax income Assume the company is considering investing in a new machine that will increase its fixed costs by $36,500 per year and decrease its variable costs by $9 per unit. Prepare a forecasted contribution margin income statement for 2018 assuming the company purchases this machine HUDSON CO Forecasted Contribution Margin Income Statement For Year Ended December 31, 2018 Sales Variable costs Contribution margin Fixed costs Income (pretax) Should the company purchase the machine
