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Use the following information to determine the break-even point in sales dollars: 9 Unit sales Dollar sales Fixed costs Variable costs 82,350 Units $840,000 $450.000
Use the following information to determine the break-even point in sales dollars: 9 Unit sales Dollar sales Fixed costs Variable costs 82,350 Units $840,000 $450.000 $378,000 Multiple Choice $ 789,344. O $ 687,273. $ 818,182 O $ 2,812,500. O $ 814,129. 10 A company manufactures and sells a single product that sells for $250 per unit; unit variable costs are $140. Annual fixed costs are $225,000. Current sales volume is $ 680,000. Compute the current margin of safety in dollars for Flannigan Company Multiple Choice $ 230,000. 0 $ 168,636. O $ 270,909. 0 $ 180,000. o $ 117,500. 11 A company manufactures and sells a single product that sells for $250 per unit; unit variable costs are $140. Annual fixed costs are $665,000. Current sales volume is $1,250,000. Flannigan Company management targets an annual pre-tax income of $980,000. Compute the unit sales to earn the target pre-tax net income. Multiple Choice O 8,436. O 11,750. 6,580. O O 11,847. O O 14,955 12 A company manufactures and sells a single product that sells for $450 per unit; variable costs are $270. Annual fixed costs are $330,000. Current sales volume is $2,100,000. Flannigan Company management targets an annual pre-tax income of $ 950,000 Compute the dollar sales to earn the target pre-tax net income. Multiple Choice $ 2,560,000. $ 6,075,000. $ 3,200,000. O $ 4,860,000 O $ 2,844,444. The following information is available for a company's utility cost for operating its machines over the last four months. 13 Month January February March April Machine hours 845 2,345 1,956 1,760 Utility cost $ 3,600 $ 8,100 $ 7,200 $ 6,800 Using the high-low method, the estimated total fixed cost for utilities is: Multiple Choice o $ 2,168. $ 1,065. a $ 4,518. O $ 3,208. O $ 862. 14 The executives of a company are trying to lower production costs. They are considering the purchase of a machine that will reduce variable costs. The machine purchase will increase fixed costs from $ 90,000 to $ 115,000 but will lower variable costs from $ 20 per unit to $18 per unit. The sales price per unit of $ 35 will not change. Assuming 10,000 units will be sold, what will be the Net Income if the machine is purchased? Multiple Choice $ 80,000 O $ 60,000 $ 55,000. O $ 45,000. $ 85,000. 15 The executives of a company are evaluating the purchase of a new machine. This machine will decrease variable costs from $24 to $ 20 per unit but will increase fixed costs from $ 80,000 to $ 110,000. The sales price of $ 40 per unit will not change. Assuming 12,500 units will be sold, what will the new breakeven point in dollars if the machine is purchased? Multiple Choice $ 275,000. $ 220,000. $ 175,000. O $ 160,000 $ 200,000
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