Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The DesMaris Company had the following income statement for the month of November 2018: DesMaris Company Income Statement For the Month of November 2018 Sales

The DesMaris Company had the following income statement for the month of November 2018:

DesMaris Company Income Statement For the Month of November 2018

Sales ($60 10,000)

$600,000

Cost of goods sold:
Direct materials ($12 10,000)

$120,000

Direct labor ($9 10,000)

90,000

Variable factory overhead ($7.50 10,000)

75,000

Fixed factory overhead

120,000

405,000

Gross profit

$195,000

Selling and administrative expenses:
Variable ($1.50 10,000)

$ 15,000

Fixed

90,000

105,000

Operating income

$90,000

What is the sales volume required to earn an operating profit of $9,000?

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

Auditing Theory And Practice

Authors: Jerry R. Strawser, Robert H. Strawser

9th Edition

0873939336, 978-0873939331

Students also viewed these Accounting questions