Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The budgets of four companies yield the following information: (Click the icon to view the budget information for the four companies.) Requirements 1. . Fill

image text in transcribed

image text in transcribed

The budgets of four companies yield the following information: (Click the icon to view the budget information for the four companies.) Requirements 1. . Fill in the blanks for each company. 2 Compute breakeven, in sales dollars, for each company. Which company has the lowest breakeven point in sales dollars? What causes the low breakeven point? + *** Q R S T Target sales. $ 415,625 $ 224,000 650,000 $ 130,000 Variable expenses 270,000 Fixed expenses 160,000 93,000 $ 140,000 140,000 Operating income (loss) Units sold 118,750 15,750 12,500 8.96 $ $ 6.40 $ 40.00 Contribution margin per unit Contribution margin ratio 0.64 Requirement 2. Compute breakeven, in sales dollars, for each company. Which company has the lowest breakeven point in sales dollars? What causes the low breakeven point? Begin by determining the formula, then compute the break even sales for each company one at a time. (Complete all answer boxes. For amounts with a $0 balance, make sure to enter "o" in the appropriate cell.) ) + Breakeven sales + ) + R + ) + = s + ) + ) = T ) + Which company has the lowest breakeven point in sales dollars? What causes the low breakeven point? has the lowest breakeven point, primarily due to Data table Company Q R S T $ Target sales. $ 650,000 $ 415,625 $ 224,000 Variable expenses 270,000 130,000 $ 160,000 $ 93,000 Fixed expenses $ 140,000 $ $ 140,000 Operating income (loss)... Units sold 12,500 15,750 118,750 $ $ 6.40 8.96 $ 40.00 Contribution margin per unit ... $ Contribution margin ratio 0.64 Print Done

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Payroll Accounting 2021

Authors: Bernard J. Bieg, Judith A. Toland

31st Edition

0357358287, 9780357358283

More Books

Students also viewed these Accounting questions

Question

3.4 Define HRIS and describe its main components.

Answered: 1 week ago