Shoaib Co., is a manufacturing company. A summary of the budgeted profit statement for its next financial year is provide. The details is provided below: Rs. Rs. Sales (9,000 units at Rs. 32) 288,000 Less: Direct material 54,000 Direct wages 72,000 Production overhead Fixed 42,000 Variable 18,000 186,000 Gross profit 102,000 Less: Admin and marketing cost: Fixed 36,000 Variable 27,000 63,000 Net profit 39,000 Required: Calculate breakeven point in units and amount. How many units must be sold to earn profit before tax Rs. 32,500

Shoaib Co., is a manufacturing company. A summary of the budgeted profit statement for its next financial year is provide. The details is provided below: Rs. Rs. Sales (9,000 units at Rs. 32) 288,000 Less: Direct material 54,000 Direct wages 72,000 Production overhead Fixed 42,000 Variable 18,000 186,000 Gross profit 102,000 Less: Admin and marketing cost: Fixed 36,000 Variable 27,000 63,000 Net profit 39,000 Required: Calculate breakeven point in units and amount. How many units must be sold to earn profit before tax Rs. 32,500

Cornerstones of Cost Management (Cornerstones Series)

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ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 10CE: Coral Seas Jewelry Company makes and sells costume jewelry. For the coming year, Coral Seas expects...

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Question: Shoaib Co., is a manufacturing company. A summary of the budgeted profit statement for its next financial year is provide. The details is provided below: Rs. Rs. Sales (9,000 units at Rs. 32) 288,000 Less: Direct material 54,000 Direct wages 72,000 Production overhead Fixed 42,000 Variable 18,000 186,000 Gross profit 102,000 Less: Admin and marketing cost: Fixed 36,000 Variable 27,000 63,000 Net profit 39,000 Required: Calculate breakeven point in units and amount. How many units must be sold to earn profit before tax Rs. 32,500.
Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The pro forma income statement for the current year is presented below. Sales $ 3,500,000Cost of sales: Direct Material $ 500,000 Direct labor 250,000 Variable Overhead 275,000 Fixed Overhead 600,000 1,625,000Gross Profit $ 1,875,000Selling and General & Admin. Exp. Variable 750,000 Fixed 250,000 1,000,000Operating Income $ 875,000The break-even point (rounded to the nearest dollar) for Evergreen Corporation for the current year is:$2,155,172.$1,865,672.$1,724,138.$2,625,000.
Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The pro forma income statement for the current year is presented below. Sales $ 3,500,000 Cost of sales: Direct Material $ 500,000 Direct labor 250,000 Variable Overhead 275,000 Fixed Overhead 600,000 1,625,000 Gross Profit $ 1,875,000 Selling and General & Admin. Exp. Variable 750,000 Fixed 250,000 1,000,000 Operating Income $ 875,000The contribution margin ratio for the current year is: 25%. 46.4%. 53.6%. 49.3%.
Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The pro forma income statement for the current year is presented below. Sales $ 3,500,000Cost of sales: Direct Material $ 500,000 Direct labor 250,000 Variable Overhead 275,000 Fixed Overhead 600,000 1,625,000Gross Profit $ 1,875,000Selling and General & Admin. Exp. Variable 750,000 Fixed 250,000 1,000,000Operating Income $ 875,000For the coming year, the management of Evergreen Corporation anticipates a 5 percent decrease in sales, a 10 percent increase in variable costs, and a $45,000 increase in fixed costs.The break-even point for next year would be: $2,668,750.$2,168,225.$3,022,500.$2,947,500.
Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The pro forma income statement for the current year is presented below. Sales $ 3,500,000 Cost of sales: Direct Material $ 500,000 Direct labor 250,000 Variable Overhead 275,000 Fixed Overhead 600,000 1,625,000 Gross Profit $ 1,875,000 Selling and General & Admin. Exp. Variable 750,000 Fixed 250,000 1,000,000 Operating Income $ 875,000 The break-even point (rounded to the nearest dollar) for Evergreen Corporation for the current year is: $2,155,172. $1,865,672. $2,625,000. $1,724,138.
Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The pro forma income statement for the current year is presented below. Sales $ 3,500,000 Cost of sales: Direct Material $ 500,000 Direct labor 250,000 Variable Overhead 275,000 Fixed Overhead 600,000 1,625,000 Gross Profit $ 1,875,000 Selling and General & Admin. Exp. Variable 750,000 Fixed 250,000 1,000,000 Operating Income $ 875,000 For the coming year, the management of Evergreen Corporation anticipates a 5 percent decrease in sales, a 10 percent increase in variable costs, and a $45,000 increase in fixed costs.The break-even point for next year would be:
Gardner Corporation manufactures skateboards and is in the process of preparing next year's budget. The pro forma income statement for the current year is presented below. Sales $ 1,500,000Cost of sales: Direct Material $ 250,000 Direct labor 150,000 Variable Overhead 75,000 Fixed Overhead 100,000 575,000Gross Profit $ 925,000Selling and General & Admin. Exp. Variable 200,000 Fixed 250,000 450,000Operating Income $ 475,000For the coming year, the management of Gardner Corporation anticipates a 10 percent increase in sales, a 12 percent increase in variable costs, and a $45,000 increase in fixed costs.The break-even point for next year (rounded to the nearest dollar) would be:$474,000.$729,027.$862,103.$214,018.
Prepare a budgeted income statement using the information shown. Sales (units) Sales price per unit Uncollectible expense Direct material per unit Direct labor per unit (hours) Direct labor rate per hour Manufacturing overhead Variable sales and administration expenses per unit Fixed sales and administration expenses 15,000 2$ 40 1%* 2$ 0.5 $ $15,000 $ 2 $20,000 15%** 20 Таxes *of sales **of income before taxes
MCQS: 1) Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The pro forma income statement for the current year is presented below. Sales $ 3,500,000 Cost of sales: Direct Material $ 500,000 Direct labor 250,000 Variable Overhead 275,000 Fixed Overhead 600,000 1,625,000 Gross Profit $ 1,875,000 Selling and General & Admin. Exp. Variable 750,000 Fixed 250,000 1,000,000 Operating Income $ 875,000 For the coming year, the management of Evergreen Corporation anticipates a 5 percent decrease in sales, a 10 percent increase in all variable costs, and a $45,000 increase in fixed costs. The operating profit for next year would be: A $477,500. B $492,500. C $831,250. D $552,500. 2) Neelon Corporation has two divisions: Southern Division and Northern Division. The following data are for the most recent…
XYZ Co. makes and sells product AB. The company provides the following data about its selling and administrative expenses budget: Monthly Fixed Cost Variable cost per unit sold Sales Commissions P0.75 Shipping P1.30 Advertising P30,000 P0.20 Executive salaries P25,000 Depreciation P15,000 Other expenses P7,000 All expenses except depreciation of office equipment are paid in cash in the month they are incurred. The company has budgeted to sell 18,000 units of product AB in August 2021. Questions: 1. How much is the total budgeted selling and administrative expenses for August 2021? 2. Assuming the cash disbursements for selling and administrative expenses total P116,000, then how many units of product AB does the company plan to sell?
Q. 6) A summary of a manufacturing company's budgeted profit statement for its next financial year, when it expects to be operating at 75 percent of capacity, is given below: Omani RialOmani Rials Sales 4,500 units at Omani Rials 32 144,000 Less: Direct Materials 27,000 Direct wages 36,000 Production overheads- --Fixed 21,000 -Variable 9,000 (93,000) Gross profit 51,000 Less: Admin., selling and distribution costs: -----------Fixed 18,000 ----------- Variable 13,500 (31,500) Net profit 19,500 it has been estimated that: i if the selling price per unit were reduced to Omani Rials 28, the increased demand would utilise 90 percent of the company's capacity without any additional advertising expenditure; ii. to attract sufficient demand to utilise full capacity would require a 15 percent reduction in the current selling price and a Omani Rials 2,500 special advertising campaign. Required: 1. Calculate the breakeven point in units, based on the original budget; 2. Calculate the profits and…
Oliver Company provided the following information for the coming year: Units produced and sold 160,000 Cost of goods sold per unit $6.30 Selling price $14 Variable selling and administrative expenses per unit $1.10 Fixed selling and administrative expenses $423,000 Tax rate 33 % Required: Prepare a budgeted income statement for Oliver Company for the coming year. Round all income statement amounts to the nearest dollar. Oliver Company Budgeted Income Statement For the Coming Year $fill in the blank fill in the blank $fill in the blank fill in the blank fill in the blank $fill in the blank fill in the blank $fill in the blank

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bartleby, a Learneo, Inc. business

	Rs.	Rs.
Sales (9,000 units at Rs. 32)		288,000
Less: Direct material	54,000
Direct wages	72,000
Production overhead
Fixed	42,000
Variable	18,000
		186,000
Gross profit		102,000
Less: Admin and marketing cost:
Fixed	36,000
Variable	27,000
		63,000
Net profit		39,000