Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Summer 2021 Question One (60 Points) Green Company sells audio speakers for desktop computers. The company's annual fixed costs are $85,000. The unit sale price
Summer 2021 Question One (60 Points) Green Company sells audio speakers for desktop computers. The company's annual fixed costs are $85,000. The unit sale price averages $30, and its variable cost for each speaker is $10. A. How many speakers must the company sell to breakeven? (15 Points) Calculation Final answer B. What is the breakeven point sales value in Dollars? Calculation (15 Points) Final answer c. To earn a target profit of $108,000, what is the sales value in dollars that the company is required to achieve? (15 Points) Calculation Final answer D. If fixed cost increased by 10%, compute the company's breakeven point in units. (15 Points) Calculation Final answer Question Two (40 points) Avaya Co makes and sells two types of celling tans. Basic and Deluxe Data concerning these products are as follows: Basic Deluxe Units sold 80,000 20,000 Unit selling price $25 $40 Variable cost per unit 10 15 Annual fixed expenses are $44,370. A. Compute the weighted average contribution margin lunit. (15 Points) Calculation Final answer B. Compute the break-even point in units. Calculation (15 Points) Final answer C. How many fans of each type must be sold to earn a target profit of $32,130. (10 Points) Calculation Final answer Assessment Dorm 09 Page 3 of 3 3 of 3
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