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Sunn Company manufactures a single product that sells for $184 per unit and whose variable costs are $138 per unit. The company's annual fixed costs
Sunn Company manufactures a single product that sells for $184 per unit and whose variable costs are $138 per unit. The company's annual fixed costs are $699,200. (1) Prepare a contribution margin income statement at the break-even point. (2) If the company's fixed costs increase by $137,000, what amount of sales (in dollars) is needed to break even? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a contribution margin income statement at the break-even point. SUNN COMPANY Contribution Margin Income Statement (at Break-Even) Sales Variable costs Contribution margin Fixed costs Income Amount Percentage of sales $ 2,796,800 100% (2,097,600) (75) % 699,200 25% 699,200 $ 0 Sunn Company manufactures a single product that sells for $184 per unit and whose variable costs are $138 per unit. The company's annual fixed costs are $699,200. (1) Prepare a contribution margin income statement at the break-even point. (2) If the company's fixed costs increase by $137,000, what amount of sales (in dollars) is needed to break even? Complete this question by entering your answers in the tabs below. Required 1 Required 2 If the company's fixed costs increase by $137,000, what amount of sales (in dollars) is needed to break even? Numerator: Break-Even Point in Dollars Denominator: Break-Even Point in Dollars Break-even point in dollars Contribution margin ratio < Required 1 Required 2 > Fixed costs per unit Selling price per unit Total fixed costs Variable costs per unit
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