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Thank you in advance Sandy Bank, Inc Dana's Ribbon World makes award rosettes. Following is information about the company Variable cost per rosette Sales price
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Sandy Bank, Inc
Dana's Ribbon World makes award rosettes. Following is information about the company Variable cost per rosette Sales price per rosette Total fixed costs per month 2.68 5.00 4800.00 Required: 1. Suppose Dana's would like to generate a profit of $1,080. Determine how many rosettes it must sell to achieve 2. If Dana's sells 2100 rosettes, compute its margin of safety in unfts, in sales dollars, and as a percentage of sal 3. Calculate Dana's degree of operating leverage if it sells 2100 rosettes. 40. Using the degree of operating leverage calculate the change in Dana's profit If unit sales drop to 1,848 units 4b. Prepare a new contribution margin income statement to verify change in dana's profit. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Reg 4 Reg 40 Suppose Dana's would like to generate a profit of $1,080. Determine how many rosettes it must sell to achieve this targ profit. (Round your intermediate calculations to 2 decimal places and round your final answer up to nearest whole num! Target Units Req2 > Complete this question by entering your answers in the tabs below. Reg 1 Reg 3 Req 4A Reg 4B If Dana's sells 2.100 rosettes, compute its margin of safety in units, in sales dollars, and as a percentage of sales. (Round your intermediate calculations to 2 decimal places and final answer to the nearest whole number Round your Margin of Safe percentage to two decimal places (ie. 0.1234 should be entered as 12.3%. Rosettes Margin of Safety (Unity Margin of Safety in Dollars Percentage of Sales 9% 3. Calculate Dana's degree of operating leverage if it sells 2100 rosettes 4a. Using the degree of operating leverage calculate the change in Dana's profit if unit sales drop to 1,848 units. 4b. Prepare a new contribution margin income statement to verify change in dana's profit. Complete this question by entering your answers in the tabs below. Thea 3 Reg 1 Reg 2 Reg 4A Reg 40 Calculate Dana's degree of operating leverage if it sells 2,100 rosettes. (Round your termediate calculations to 2 decimal places and final answer to 4 decimal places) Degree of Operating Leverage Using the degree of operating leverage calculate the change in Dana's profit if unit sales drop to 1.848 units. Prepare a new contribution margin income statement to verify change in dana's profit Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3 Reg 4B 449 44 Using the degree of operating leverage, calculate the change in Dana's profit funit sales drop to 1,848 units. (Round your intermediate calculations to 4 decimal places and final answer to 2 decimal places, ll.e. 1234 should be entered as 12:34) Effect on Profit % Step by Step Solution
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