FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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- On the Data Tables - Student tab in your Excel spreadsheet, update the given information section of the Income Statement for Hello Company with the data below: Income Statement Product A Product B Product C Max Capacity Units 42,000 7,000 3,000 52,000 Price per unit $ 11.00 $ 8.00 $ 60.00 Variable expense per unit $ 4.00 $ 2.00 $ 20.00 Total Fixed Costs $ 20,000 $ 40,000 $ 10,000 Required: 2. Using the Data Table What-If Analysis tool in Excel, determine the Units and Operating Income (Loss) for each product based on the following scenarios. (Hint: Don't forget that the warehouse can only hold up to 52,000 units.) Scenario 1: Pete wants to find the mix of units that will result in the highest overall Operating Income, perform this analysis using a two variable data table. Product A can vary between 39,000 units and a maximum of 44,000 units. Product B can vary between 5,000 units…arrow_forwardDon't give answer in imagearrow_forwardALABAMA CORPORATION Goals and Objectives Review of basic terminology Review basic accounting and journal entries to reflect the flow of costs Review preparation of income statement and supporting schedules for manufacturer given end-of-year information The company manufactures a single product, cleverly named Product X. The following information is available for the calendar year 2018 just completed, during which they produced and sold 200,000 units. Sales for the year was $2,400,000. During the year, the company paid a sales commission of 5 percent of sales. The corporate income tax rate was 20%. Direct materials purchases $300,000 Direct labor 140,000 Depreciation - factory equipment 45,000 Depreciation - factory building 30,000 Depreciation - headquarters building 50,000 Factory insurance 15,000 Property taxes: Factory 20,000 Headquarters 18,000 Utilities - factory 34,000 Utilities – sales 1,800 Administrative salaries 150,000 Indirect labor salaries 156,000 Sales office…arrow_forward
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