Coney Adventures Inc. sells one product for $5. The variable cost per item is $3, and the fixed costs for the firm are $40. Assume that the income tax rate for Redlands is 40%. Compute the number of units and sales revenue needed to achieve an $18 net profit. Compute the number of units and sales revenue needed to achieve an 8% profit margin. (Ignore income taxes.) Compute the number of units and sales revenue needed to achieve a 12% net profit margin. (Assume a 40% income tax rate.)

Q: JaJa m Manufacturing incurs annual fixed costs of P250,000 in producing and selling a single…

A: The break even sales are the sales where business earns no profit no loss during the period.

Q: Altstadt Inc. sells a product for $50 per unit. The variable cost is $20 per unit, and fixed costs…

A: Breakeven point is the point or we can say the sales level at which the organisation is at no profit…

Q: Shalom Company manufactures socks that sell for P60 each. For the coming year, the management…

A: Contribution Margin is the amount that is arrived at after all the variable expenses of…

Q: he QWERT INC. sells Product A for P60 each. Variable costs are P36 per unit. Fixed costs are…

A: Selling price of Product A = P 60 Variable cost per unit = P 36 Contribution per unit = Selling…

Q: The NUBD Co. Sells Product A for P60 each. Variable costs are P36 per unit. Fixed costs are…

A: Contribution margin per unit = Sales value - variable cost           = 60 - 36           = 24 per…

Q: Leather and Boots Inc. makes and sells two types of shoes, Plain and Fancy. Data concerning these…

A: Solution: Computation of weighted average contribution margin per unit Particulars Plain Fancy…

Q: Friar Corp. sells two products. Product A sells for $112 per unit, and has unit variable costs of…

A: The variable cost is the cost that changes as the level of production increases. The variable cost…

Q: Lin Corporation has a single product whose selling price is $134 per unit and whose variable expense…

A: The target profit is the amount of profit that a company's managers expect to produce at the…

Q: Lin Corporation has a single product whose selling price is $135 per unit and whose variable expense…

A: Conribution margin per unit Contribution margin ratio

Q: XYZ Company's single product has a selling price of $25 per unit. Last year the company reported…

A: Computation of contribution per unit: Total sales=Variable expensesVariable expenses…

Q: Radison Enterprises sells a product for $92 per unit. The Costs that vary in total dollar amount as…

A: a) Given selling price = $92 per unit Variable cost per unit = $59 per unit Therefore contribution…

Q: The fixed cost of a ceramic company is 18,000 OMR. The variable cost is 12 OMR per unit and selling…

A: To calculate the profit, total fixed cost and total variable cost is deducted from the total sales…

Q: Coney Adventures Inc. sells one product for $5. The variable cost per item is $3, and the fixed…

A: A Break-even point is a situation where the company earns no profit and faces no loss.

Q: Super Sales Company is the exclusive distributor for a high-quality knapsack. The product sells for…

A: The contribution margin is calculated as the difference between the sales and variable costs. The…

Q: Lindon Company is the exclusive distributor for an automotive product that sells for $32.00 per unit…

A: The break-even sales are calculated as the fixed costs divided by the contribution margin ratio. The…

Q: Required: 1. Calculate the unit sales needed to attain a target profit of $4,750 (Do not round…

A: The Break-even point is the point where the company is able to cover all its costs but does not make…

Q: Lindon Company is the exclusive distributor for an automotive product that sells for $50.00 per unit…

A: 1. Selling price per unit        50.00 x Variable expense rate         70%Variable expense per unit…

Q: Zhao Company has fixed costs of $342,200. Its single product sells for $173 per unit, and variable…

A: Margin of safety: Margin of safety is the point after which profit will happen in multiple…

Q: break-even point

A: Break even point is the level of sales at which an entity begins to generate profit.

Q: Lin Corporation has a single product whose selling price is $136 per unit and whose variable expense…

A: Contribution margin is the difference between sales revenue and variable cost. Contribution margin…

Q: Berea Company expects to sell 9,000 units. Total fixed costs are $84,000 and the contribution margin…

A: CVP analysis is used to identify the changes in costs and volume affect a company's operating…

Q: Altstadt Inc. sells a product for $50 per unit. The variable cost is $20 per unit, and fixed costs…

A: The point at which the company neither earns any profit nor incurs any loss is referred to as the…

Q: Gladstorm Enterprises sells a product for $60 per unit. The variable cost is $40 per unit, while…

A: Break even point in units = fixed costs/(selling price per unit - variable cost per unit)

Q: Lin Corporation has a single product whose selling price is $130 per unit and whose variable expense…

A: ·        CVP analysis is used to identify the changes in costs and volume affect a company's…

Q: Ritz Furniture has a contribution margin ratio of 0.17. If fixed costs are $166,600, how many…

A: Introduction: Break even point : The point for the sales where there is no profit nor loss. Below…

Q: What is the breakeven points in units? UrTurn sells its products at P80 per unit with the…

A: Break Even Point - Break Even Point is the point where company has recovered its Fixed Cost. It is…

Q: The following annual information is for Dexter Corporation:   Product A Revenue per unit: $20.00…

A: Formula: Unit contribution margin = Selling price - Variable cost per unit

Q: Mia Enterprises sells a product for $90 per unit. The variable cost is $40 per unit, while fixed…

A: Break-even point in units is computed by dividing the fixed cost by the contribution margin per…

Q: Mia Enterprises sells a product for $90 per unit. The variable cost is $40 per unit, while fixed…

A: The break even data can be calculated as per CVP analysis

Q: Zoro, Inc. produces a product that has a variable cost of $6.00 per unit. The company’s fixed costs…

A: Given: Variable cost per unit = $ 6 Fixed costs = $ 30,000 Cost of product sold = $ 10 Estimated…

Q: Wisdom Company has monthly fixed costs of $600,000. The variable cost ratio for the firm is 55%, the…

A: BEP (Break-even point) is the formula used by the management in determining desired amount and units…

Q: Dominic's Deli recently calculated its annual break-even sales revenue to be $280,000. For each…

A: The contribution Margin is calculated as difference between sales and variable cost. The break even…

Q: eff Music sells its brand of banduria at $167.00 each. The company spends costs of $38.00 to roduce…

A: Break even point is the point at which there is no profit or no loss. When the breakeven is to be…

Q: A certain company sells Its product at (45 - 0.08x) pesos per unit. Varlable cost per unit is P 25…

A: Computation of income statement particulars Amount PHP  per unit Sales per unit  45 - 0.08x…

Pricing

Pricing is used as a term in finance and economics, pricing is the process of fixing a value for a product or a service. Pricing establishes a value for a product or service that the customer has to pay. A business can choose from different strategies while deciding to set prices.