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The vice-president of sales and marketing, Madison Tremblay, is trying to plan for the coming year in terms of production needs to meet the forecasted
The vice-president of sales and marketing, Madison Tremblay, is trying to plan for the coming year in terms of production needs to meet the forecasted sales. The board of directors is very supportive of any initiatives that will lead to increased profits for the company in the upcoming year. Waterways markets a simple water controller and timer that it mass-produces. During 2020, the company sold 335,000 units at an average selling price of $8 per unit. The variable expenses were $1,507,500, and the fixed expenses were $759,500.
200 ml bat daar th Quiz 4 20th November Dunn C received_1113121042453954.we... O Q + 0. ti! If management wanted to increase income from this product by 10%, how many additional units would the company have to sell to reach this income level? (Round answer to 0 decimal places, e.g. 5,275.) Waterways would have to sell an additional units If sales increase by 67,000 units and the cost behaviours do not change, how much will income increase on this product? Income will increase by $ W ays is considering mass-producing one of its special-order screens. This would increase variable costs for all screens by an ave. $0.67 per unit. The company also estimates that this change could increase the overall number of screens sold by 10%, and the average sales price increase by $0.24 per unit. Waterways currently sells 467,000 screen its at an average selling price of $26.50. The manufacturing costs are $6,520,000 variable and $1,947,630 fixed. Selling and administrative costs are $2,539,800 variable and $755,200 fixed. Th of tha sel If Waterways begins mass-producing its special-order screens, how would this affect the company? (Round contribution margin ratio to 1 decimal place, e.g. 15.2% and operating income to o decimal places, e.g. 5,275.) Current New Effect Sh Contribution margin ratio % % by % Hic Operating income by $ N CA 09:28 received_1113121042453954.we... O 1. 5 s If management wanted to increase income from this product by 10%, how many additional units would the company have to sell to reach this income level? (Round answer to 0 decimal places, e.g. 5,275.) Waterways would have to sell an additional units If sales increase by 67,000 units and the cost behaviours do not change, how much will income increase on this product? Income will increase by $ Screenshot now W ays is considering mass-producing one of its special-order screens. This would increase variable costs for Screenshot taken $0.67 per unit. The company also estimates that this change could increase the overall number of screens sold by show in folder sales price increase by $0.24 per unit. Waterways currently sells 467,000 screen its at an average selling manufacturing costs are $6,520,000 variable and $1,947,630 fixed. Selling and administrative costs are $2,539,8 fixed. . If Waterways begins mass-producing its special-order screens, how would this affect the company? (Round cont decimal place, e.g. 15.2% and operating income to 0 decimal places, e.g. 5,275.) Current New Effect Contribution margin ratio % % by % NB. Operating income by $ $ COPY TO CLIPBOARD N CA OO9:13 received_1025517851250125.we... 2. Question 1 The vice-president of sales and marketing, Madison Tremblay, is trying to plan for the coming year in terms of production needs to meet the forecasted sales. The board of directors is very supportive of any initiatives that will lead to increased profits for the company in the upcoming year. Waterways markets a simple water controller and timer that it mass-produces. During 2020, the company sold 335,000 units at an average selling price of $8 per unit. The variable expenses were $1,507,500, and the fixed expenses were $759,500. What is the product's contribution margin ratio? (Round answer to 2 decimal places, e.g. 22.25%.) Contribution margin ratio % > ut is the company's break-even point in units and in dollars for this product? (Round intermediate calculations to 2 decimal place e.g. 15.25 or 15.25% and final answers to 0 decimal places, e.g. 5,275.) Break-even point in units units Break-even point in dollars What is the margin of safety, both in dollars and as a ratio? (Round ratio to 2 decimal places, e.g. 25.25%.) Margin of safety in dollars Margin of safety ratio % N CA OO9:13Step by Step Solution
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