If the contribution margin on the firm's single product is $2.00 per unit and fixed costs are $60.000, what will the firm's net income be at sales of 30.000 units?Mutiple ChoiceOO$90.000$30,000$15.0009

Answered: Image /qna-images/answer/5c7b2394-4405-4693-88a2-51a7cfbd693e.jpg

Answered: If the contribution margin on the…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

See similar textbooks

Similar questions

2. A company provided the following information: Sales Variable costs Fixed costs P500,000 P100,000 P200,000 | Required: A. What is the contribution margin ratio? 500,000 – 100,000 = 400,000 "Contribution Margin" 400,000/500,000 = 0.8 What is the level of sales in amount necessary to generate a profit of P40,000? C. What is the contribution margin ratio if the sales price is increased by 10%? Using the information in part C, what level of sales in amount is necessary to generate a profit of P40,000? D. B.
A company’s only product sells for $150 per unit. Its variable costs per unit are $100, and its fixed costs total $75,000. What is its contribution margin per unit? a. $50 c. $100 e. $25 b. $250 d. $150
Company XY Sales are 6 800 000 € and fixed costs are 2 400 000 €. Variable costs are 4 284 000 €. Calculate, what should company’s sales be if profit should be 60 500 € and you assume that contribution margin (%) is same as earlier?
How much sales are required to earn a target net income of OMR 200,000 if total fixed costs are OMR 250,000 and the contribution margin ratio is 40%? Select one: a. OMR 1,125,000 Ob. OMR 500,000 c. OMR 1,012,500 O d. OMR 625,000 O e. None of the answers are correct Next page üul lis i 直。
A product sells for $400 per unit and its variable costs per unit are $260. The company’s fixed costs are $840,000. If the company desires $70,000 pretax income, what is the required dollar sales? a. $2,400,000 c. $2,600,000 e. $1,400,000 b. $200,000 d. $2,275,000
Suppose the marginal cost and marginal revenue (in ¢000) for a product produced by a company is estimated to be MC=q+35 MR=560+22q-q^2 Where q is the quantity produced and the firm’s break-even is 5 units per week You are Required to I. determine the total cost and the total revenue function in terms of q. II. estimate the output at which profit is maximize III. calculate the maximum profit
Company XYZ is producing and selling 2,500 . At this level , the selling price per unit is $10, the variable expenses per unit is $3 and fixed expenses are \$1,5 . How much is the profit ? a. $ 6,000 b. $11,000 c. 8,500 d. 16,000 e.13,500
10. Product Cott has sales of P200,000, a contribution margin of 20%, and a margin of safety of P80,000. What is Cott's fixed cost? a. P16,000 b. P24,000 c. P80,000 d. P96,000 e. None of these; answer is
Sheridan Company has fixed costs of $2300000 and variable costs are 20% of sales. What are the required sales if Sheridan desires net income of $400000? $11500000 $13500000 $3375000 $2875000
A company’s sales figure is £250,000 and its margin of safety ratio is 40%. Assuming that the fixed costs, the variable cost per unit and the selling price per unit do not change, the company’s margin of safety for sales of £325,000 will be: a. £175,000 b. £150,000 c. £100,000 d. £70,000
How much sales are required to earn a target net income of $210000 if total fixed costs are $300000 and the contribution margin ratio is 40%? $1135000 $1275000 $750000 $525000
Fill In The Blank Outlast Company's projected profit for the coming year follows: Total Per Unit Sales P200,000 P20 Less: Variable costs (120,000) (12) Contribution margin 80,000 P8 Less Fixed expenses (64,000) Operating Profit P 16,000 Requirements: 1. How many units must be sold to earn a profit of P30,000? units 3. Compute the additional profit that Outlast would earn if sales were P25,000 more than expected? P 3. For the projected level of sales, what is the margin of safety? P 4. Suppose Outlast would like to earn operating income equal to 20 percent of sales revenue. How many units must be sold for this goal to be realized? units NOTE: *If your answer is in monetary value, OMIT the peso sign (ex: if the answer is One hundred pesos just type 100) **If your answer is in thousands value, do not put space/s between the numbers and do not forget to type comma to indicate thousand value (ex: if the answer is one thousand just type 1,000) ***If your answer has decimal places, round your…

SEE MORE QUESTIONS

Recommended textbooks for you

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Essentials Of Investments

Finance

ISBN:

9781260013924

Author:

Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:

Mcgraw-hill Education,

FUNDAMENTALS OF CORPORATE FINANCE

Finance

ISBN:

9781260013962

Author:

BREALEY

Publisher:

RENT MCG

Financial Management: Theory & Practice

Finance

ISBN:

9781337909730

Author:

Brigham

Publisher:

Cengage

Foundations Of Finance

Finance

ISBN:

9780134897264

Author:

KEOWN, Arthur J., Martin, John D., PETTY, J. William

Publisher:

Pearson,

Fundamentals of Financial Management (MindTap Cou…

Finance

ISBN:

9781337395250

Author:

Eugene F. Brigham, Joel F. Houston

Publisher:

Cengage Learning

Corporate Finance (The Mcgraw-hill/Irwin Series i…

Finance

ISBN:

9780077861759

Author:

Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS

If the contribution margin on the firm's single product is $2.00 per unit and fixed costs are $60.000, what will the firm's net income be at sales of 30,000 units? Multiple Choice O O $90.000 $30,000 $15.000