This is a three-part
Required information (T he foliowmg Information applies to the questions displayed below] Henna Co. produces and selis two products, T and 0. It manufactures these products in separate factories and markets them through different channels, They have no shared costs, This year, the company said 59,000 units of each product, Sales and costs for each product foliow, Product T Product 0 Sales $ 997,108 $ 997,133 Variable costs $97,979 99,710 Contribution margin 299,130 897,390 Fixed Cost; 158,138 748,396 Income before taxes 149,000 149,000 Income taxes (38% rate) 44,708 44,700 Net income $ 134,399 $ 1941386 Required: 1. Compute the break-even point in dollar sales for each product, (Enter CM ratio as percentage rounded to 2 decimal places.) Ccnlnbulion margin ratio Breakeven paint in doilars Cnnlnbulion margin ralio Break-even point in doilars Required information [The following information applies to the questions displayed below J Henna Co. produces and sells two products, T and C. It manufactures these products in separate factories and markets them through different channels, They have no shared costs. This year, the company sold 59,000 units of each product, Sales and costs for each product follow. Product T Product 0 Sale; $ 997,188 $ 997, 199 Variable Eosts 697,979 99,71' Contribution margin 299,138 897,398 Fixed costs 156,139 748,398 Income before taxes 149,868 149,688 Income taxes (36% rate) 44,799 44,793 Net income $ 184,333 I 164, 388 2. Assume that the company expects sales of each product to decline to 42,000 units next year with no change In unit selling price, Prepare forecasted nancial results for next year following the format of the contribution margin income statement asjust shown with columns for each ofthe two products (assume a 30% tax rate]. Also, assume that any loss before taxes yields a 30% tax benet. (Round "per unit" answers to 2 decimal places. Enter losses and tax benets, if any. as negative values.) Net income (loss) Required information 1T he following information applies to the questions displayed below. ] Henna Co produces and sells two products, T and C), It manufactures these products in separate factories and markets them through different channels, They have no shared costs, This year, the company sold 59,000 units of each product Sales and costs for each product follow. Product T Product D Sales $ 997,166 $ 997,100 Variable costs 697,979 99,716 Contribution margin 299,130 897,396 Fixed costs 158,139 748,393 Income before taxes W W Income taxes (36:: rate) 44,799 44,733 Net income E 134,369 3 194, 300 3. Assume that the company expects sales of each product to increase to 73,000 units next year with no change in unit selling price, Prepare forecasted nancial results for next year following the format ofthe contribution margin income statement shown with columns for each of the two products (assume a 3096 tax rate). (Round "per unit\" answers to 2 decimal places.) Contribution margin Net income (loss)
