Question
Sandhill, Inc. produces stereo speakers. The selling price per pair of speakers is $1,000. The variable cost of production is $370and the fixed cost per
Sandhill, Inc. produces stereo speakers. The selling price per pair of speakers is $1,000. The variable cost of production is $370and the fixed cost per month is $43,092. For November, the company expects to sell132pairs of speakers.
Calculate expected profit.
Expected profit enter expected profit in dollars__________.
Calculate the contribution margin ratio, Break-even sales, Expected sales and margin of safety in dollars.(Round contribution margin ratio and intermediate calculations to 2 decimal places, e.g. 15.25 and all other answers to 0 decimal places, e.g. 5,275.)
Contribution margin ratio: enter contribution margin ratio rounded to 2 decimal places_____________.
Break-even sales: enter break-even sales in dollars rounded to 0 decimal places__________.
Expected sales: enter expected sales in dollars rounded to 0 decimal places____________.
Margin of safety: enter margin of safety in dollars rounded to 0 decimal places__________.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started