AccountingBUYChapte...Managerial Accounting15th EditionISBN: 9781337912020Author: Carl Warren, Ph.d.Cma William B. TaylerPublisher: South-WesternCollege PubProblem 5BESection...QuestionSales Mix and Break-Even AnalysisMegan Company has fixed costs of $299,700. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two productsfollow:Product ModelSelling PriceVariable Cost per UnitContribution Margin per UnitYankee$210$120$90Zoro15010050The sales mix for products Yankee and Zoro is 10% and 90%, respectively. Determine the break-even point in units of Yankee and Zoro.a. Product Model Yankee3,330 X unitsb. Product Model Zoro<FeedbackSee similar textbooksunits▼ Check My WorkSubtract the combined unit variable cost from the combined unit selling price. Divide the fixed costs by the combined unit contribution margin to find break-even point inunits. Units for Yankee and Zoro will be break-even point in units times the sales mix percentages for each.

The objective of this question is to determine the break-even point in units for the two products…

Answered: Accounting BUY Chapte... Managerial…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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The income statement of Archer Manufacturing is as follows: Cost of Goods Sold: Direct Materials Direct Labor (variable) Variable Manufacturing Overhead Fixed Manufacturing Overhead Gross Margin Selling, General & Administrative Costs: Variable SG& A Fixed SG&A Net Operating Income Archer's margin of safety percentage (MoS %) %. P 2,000,000 P P 500,000 150,000 50,000 600,000 700.000 180,000 300,000 300,000
Use the data to prepare the cost statement and income statement by use the variable cost . The production capacity ( 8 000 )unit , the seal price ( 2000 ) to unit . Direct materials ( 176000) Direct wages ( 128000 ). Direct expenses ( 132000 ) Indirect expenses ( 132000 ). ( 100 000 v. , 32 000 f. ). Marketing cost v. ( 100 000 )D. Administration cost 60000 D. Indirect marketing f. ( 100 000). The balance of f. g. f. ( 2500 ) unit , and the balance of f. g. l. ( 1000 ) unit . The number of sales unit ( ? ) unit
Required information [The following information applies to the questions displayed below.] Information for Pueblo Company follows: Sales Revenue Less: Total Variable Cost Contribution Margin Weighted average CM ratio Product A Product B $ 60,000 $ 31,490 $ 28,510 Required: Determine Pueblo's (overall) weighted-average contribution margin ratio. Note: Do not round intermediate calculations. % $ 57,000 $ 11,800 $ 45,200
Blossom Company has the following information available for September 2022. Unit selling price of video game consoles Unit variable costs Total fixed costs Units sold $400 $320 $24,000 600
Explain the terms break-even point and margin of safety as used in cost-volume-profit (CVP) analysis in short term decision marking. b) Kack Ltd is a company which uses cost-volume-profit analysis for planning and control decisions. You have been given the following information for the just ended operational period: Total revenue GH¢3,600,000 The annual total cost GH¢3,510,000 Variable cost GH¢2,700,000 Required: As the Management Accountant, calculate the following for the use of management in decision making for the forthcoming period: i) Variable cost/sales ratio. (1 mark) ii) Contribution/sales (C/S) ratio. iii) Break-even sales (in value). ( iv) Margin of safety (in value). (1 mark) v) Margin of safety (in percentage). vi) The sales value which would yield a profit of GH¢270,000 assuming the C/S ratio and fixed costs remain unchanged. vii)The sales value which would yield a profit of 15% of that sales assuming the C/S ratio and the fixed costs remain unchanged. viii)…
The Jones Company has the following cost schedule: Output Total Cost (Units) ($) 0 3000 50 3750 100 4275 150 4675 200 5000 250 5300 300 5700 350 6250 400 7050 450 8225 Prepare (a) average total cost and (b) marginal cost schedules for the firm.
QUESTION 2 (a) Explain the following terms: (1) margin of safety (ii) contribution margin (b) contribution to sales ratio (ii) (iv) (c) cost behaviour in a linear function (v) (d) break even analysis The Income statement for the year ending 31 December 2020 for Hagemaru Manufacturing is as follows: RM'000 RM'000 Sales (22,000 units) 3,300 Direct materials 726 Direct labour 374 Production overheads 798 (1,898) Gross profit 1,402 Selling overheads (1,042) Net profit 360 The variable production overheads were RM9 per unit while the variable selling overheads were RM11 per unit. Required: (i) Calculate contribution margin per unit. (i) (ii) Calculate breakeven point in units and in RM. (i) Calculate margin of safery in units for the latest financial year. The company has a capacity of 30,000 units per year. Management is not happy with the financial performance for the last year, and two courses of (iv) (v) (vi) action for the coming year were proposed in the recent management meeting:…
II. George Corporation has the following information for the current year: Selling price per unit Variable costs per unit Fixed costs Required: Prepare a cost-volume-profit graph identifying the following items: Total fixed costs line Total variable costs line Total costs line Total revenues line Breakeven point in sales dollars Breakeven point in units A. B. C. D. E. F. G. H. Dollars (S) Profit area Loss area 6,000 5,000 4,000 3,000 2,000 1,000 S 10.00 6.00 S $1,000.00 0 100 200 300 400 Qty (# Units) 500
Question 1: Pamlico Manufacturing Ltd has the following information given in the table below. Sales per unit Variable production cost per unit 12.50 7.50 Variable administration sales and distribution per 1.00 unit Fixed production costs 37 500 Fixed administration sales and distribution 18 750 Opening inventory in units Units produced 2 500 25 000 At the beginning of December 2018, there were 2 500 units in inventory. Required: Draw up a statement of comprehensive income according to marginal costing principles for three different levels of sales, for the month of December a) 12 500 units b) 18 750 units c) 25 000 units Question 2 Using the above information on Pamlico Manufacturing Ltd, prepare the statement of comprehensive income using absorption costing principles for the month of December and assume the following: 1. Normal level of activity is 25 000 shirts per month. 2. Fixed production costs were 37 500 for the month.
be determined using the above information Mazoon Company has information on its revenue and costs is as follows: Selling price per unit $125; Variable costs per unit includes: Direct material $15, Direct manufacturing labor $10, Manufacturing overhead $5, and Selling costs $10; Annual fixed costs $78,000. What is the contribution margin percentage? O a. None of the given answers O b. 68% O c. 70% d. 32% e. 60% NEXT PAGE AGEVindows but Jail ENG G 4)
Required information [The following information applies to the questions displayed below.] Information for Pueblo Company follows: Sales Revenue Less: Total Variable Cost Contribution Margin Weighted average CM ratio Product A $ 52,000 $ 10,000 $ 42,000 Required: Determine Pueblo's (overall) weighted-average contribution margin ratio. Note: Do not round intermediate calculations. % Product B $ 66,000 $18,320 $ 47,680
Lillibridge & Friends, Incorporated provides you with the following data for its single product: Sales price per unit Fixed costs (per quarter): Selling, general, and administrative (SG&A) Manufacturing overhead Variable costs (per unit): Direct labor Direct materials Manufacturing overhead SG&A Number of units produced per quarter $ 130 1,500,000 4,500,000 a. Prime cost per unit b. Contribution margin per unit c. Gross margin per unit d. Conversion cost per unit e. Variable cost per unit f. Full absorption cost per unit g. Variable production cost per unit h. Full cost per unit Required: Compute the amounts for each of the following assuming that the production levels are within the relevant range if the number of units is 500,000 per quarter. Also calculate if the number of units increases to 600,000 per quarter. Note: Do not round intermediate calculations. Round your answers to 2 decimal places. 16 19 17 13 500,000 units 500,000 units 600,000 units

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