eridan Hebert's Beauty Salon gave 4,000 haircuts, shampo costs were $18,000 and variable costs were 75% of sales.
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- In the month of August, Beauty Salon services 560 clients at an average price of $120. During the month, fixed costs were $21,024 and variable costs were 60% of sales. Determine the total contribution margin in dollars, the per unit contribution margin, and the contribution margin ratio. Contribution margin in dollars? Contribution margin per unit? Contribution margin ratio? Using the contribution margin technique, compute the break-even point in dollars and in units. Break-even sales? (in dollars) Break-even sales? (in units)In the month of June, Sunland Hebert’s Beauty Salon gave 4,000 haircuts, shampoos, and hair colorings at an average price of $50. During the month, fixed costs were $16,000 and variable costs were 75% of sales. Determine the contribution margin in dollars, per unit and as ratio Using the contribution margin technique, compute the break-even point in dollars and in units. Compute the margin of safety in dollars and as a ratio.Wildhorse Repairs has 200 auto-maintenance service outlets nationwide. It performs primarily two lines of service: oil changes and brake repair. Oil change-related services represent 70% of its sales and provide a contribution margin ratio of 20%. Brake repair represents 30% of its sales and provides a 40% contribution margin ratio. The company's fixed costs are $13,416,000 (that is, $67,080 per service outlet). Sales mix is determined based upon total sales dollars. (a) Your answer is correct. Calculate the dollar amount of each type of service that the company must provide in order to break even. (Use Weighted- Average Contribution Margin Ratio rounded to 2 decimal places e.g. 0.25 and round final answers to 0 decimal places, e.g. 2,510.) Sales Dollars Needed Per Product Oil changes Brake repair $ 36120000 15480000
- Last month when Holiday Creations, Incorporated, sold 41,000 units, total sales were $164,000, total variable expenses were $136,120, and fixed expenses were $37,000. Required: 1. What is the company's contribution margin (CM) ratio?Last month Annie's Homemade total sales and variable costs for 6-ounce servings were $18,000 and $4,500, respectively. Its total sales and variable costs for 8-ounce servings were $7,000 and $1,750, respectively. Its total fixed costs for the month were $11,000. Required: 1. What was last month's overall contribution margin ratio? 2. Using last month's data, what is the company's overall break-even point in dollar sales? Note: Round up to the nearest whole dollar. Complete this question by entering your answers in the tabs below. Required 1 Required 2 What was last month's overall contribution margin ratio? The overall contribution margin ratio was %The company has a desired net income of $53,991 per service outlet. What is the dollar amount of each type of service that must be performed by each service outlet to meet its target net income per outlet? (Use Weighted-Average Contribution Margin Ratio rounded to 2 decimal places eg. 0.25 and round final answers to O decimal places, eg. 2,510.) Sales Dollars Needed Per Service Outlet Oil changes Brake repair $
- Sheridan Repairs has 200 auto-maintenance service outlets nationwide. It performs primarily two lines of service: oil changes and brake repair. Oil change-related services represent 80% of its sales and provide a contribution margin ratio of 20%. Brake repair represents 20% of its sales and provides a 40% contribution margin ratio. The company's fixed costs are $15,580,800 (that is, $77,904 per service outlet). Sales mix is determined based upon total sales dollars.Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Claimjumper Makeover Total Sales $ 102,000 $51,000 $ 153,000 Variable expenses 31,600 6,650 38, 250 Contribution margin $ 70,400 $ 44,350 114,750 Fixed expenses 87, 525 Net operating income $27,225 Required: 1. What is the overall contribution margin (CM) ratio for the company? 2. What is the company's overall break - even point in dollar sales? 3. Prepare a contribution format income statement at the company's break - even point that shows the appropriate levels of sales for the two products.Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Claimjumper Makeover Total Sales $ 98,000 $ 49,000 $ 147,000 Variable expenses 30,400 6,350 36,750 Contribution margin $ 67,600 $ 42,650 110,250 Fixed expenses 87,300 Net operating income $ 22,950 Required: 1. What is the overall contribution margin (CM) ratio for the company? 2. What is the company's overall break-even point in dollar sales? 3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products.
- Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Sales Variable expenses Contribution margin Fixed expenses Net operating income Claimjumper $ 120,000 44,200 $ 75,800 Makeover $ 60,000 9,800 $ 50,200 Required: 1. What is the overall contribution margin (CM) ratio for the company? Total $ 180,000 54,000 126,000 82,320 $ 43,680 2. What is the company's overall break-even point in dollar sales? 3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products.Sherri’s Tan-O-Rama is a local tanning salon. Its regression output is as follows: Coefficients Intercept 4,630.34 X Variable 1 2.33 Suppose that the company charges $7.20 per tanning session. Required: 1. Calculate the unit contribution margin.2. Calculate contribution margin ratio.3. Calculate the total contribution margin if the shop books 1,400 tanning sessions this month.Last month, Laredo Company sold 570 units for $85 each. During the month, fixed costs were $5,814 and variable costs were $51 per unit. Required: 1. Determine the unit contribution margin and contribution margin ratio. 2. Calculate the break-even point in units and sales dollars. 3. Compute Laredo’s margin of safety in units and as a percentage of sales.