Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Total Per Unit Sales $ 1800000 Variable Expenses Cost of Goods Sold $ 1240000 i Selling Expenses 87000 i Administrative Expenses 23000 i Total Variable
Total Per Unit Sales $ 1800000 Variable Expenses Cost of Goods Sold $ 1240000 i Selling Expenses 87000 i Administrative Expenses 23000 i Total Variable Expenses 1350000 i .45 Contribution Margin 450000 $ Fixed Expenses Manufacturing Overhead 4 110000 i Selling Expenses 61000 i Selling Expenses 87000 Administrative Expenses 23000 i Total Variable Expenses 1350000 i 45 Contribution Margin 450000 $ Fixed Expenses Manufacturing Overhead 4 110000 i Selling Expenses 61000 i Administrative Expenses 99000 i Total Fixed Expenses 270000 i Net Income/(Loss) $ 180000 Compute the break-even point in (1) sales units and (2) sales dollars. (Round answers to 0 decimal places, e.g. 1,225.) (1) Break-even point 1800000 units (2) Break-even point $ e Textbook and Media Your answer is incorrect. Compute the contribution margin ratio and the margin of safety ratio. Contribution margin ratio % Margin of safety ratio % Sandhill Company bottles and distributes B-Lite, a diet soft drink. The beverage is sold for 60 cents per 16-ounce bottle to retailers. For the year 2022, management estimates the following revenues and costs. Sales $ 1,800,000 Selling expenses-variable $ 87,000 Direct materials 420,000 Selling expenses-fixed 61,000 Direct labor 400,000 Administrative expenses-variable 23,000 Manufacturing overhead-variable 420.000 Administrative expenses-fixed 99.000 Manufacturing overhead-fixed 110,000 Your answer is correct. Prepare a CVP income statement for 2022 based on management's estimates. (Round per unit answers to 3 decimal places, e.g. 0.251.) SANDHILL COMPANY CVP Income Statement (Estimated) For the Year Ending December 31, 2022
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started