Sparks, Inc. makes a single product with monthly fixed costs totaling $100,000 and variable costs of $2 per unit. Each unit of product sells for $12. The company expects to sell 190,000 units each month. The monthly operating profit is If total fixed costs increase 10 percent, the monthly operating profit would be
Q: Sequential (Step) Method of Support Department Cost Allocation Chekov Company has two support…
A: Chekov Company - Support Department Cost Allocation (Sequential Method)1. Allocation Ratios:Human…
Q: ! Required information [The following information applies to the questions displayed below.] Tom…
A: Step 1:1. Calculate the taxable estate:Gross estate=total assets -total…
Q: Answer in All option
A: A batch status that captures the interim stage between preparation and final processing is "Prov.…
Q: Nick's Novelties, Incorporated, is considering the purchase of new electronic games to place in its…
A: Computing the Simple Rate of Return and Purchase Decision2a. Simple Rate of ReturnTo compute the…
Q: Heery
A: The trend percentages calculated for Rotorua Products, Limited's financial data provide a…
Q: Luke Company has three divisions: Peak, View, and Grand. The company has a hurdle rate of 6.26…
A: Compute return on investment and residual income as follows:Formulas:
Q: Required information Use the following information for the Exercises below. (Algo) [The following…
A: An income statement that shows the contribution margin after deducting all variable costs from sales…
Q: None
A: Calculating Matthew's 401(k) Contribution Limit (2023)Here's how to determine how much Matthew can…
Q: None
A:
Q: For the year ended December 31, 2021, Finco Incorporated reported earnings per share of $2.28.…
A: Step 1: a. For a 3-for-1 stock split in 2022, the 2021 earnings per share reported for comparative…
Q: Alpesh
A: Here's an explanation of each step:Step 1: Calculate the income componentsIn this step, we identify…
Q: As a result of a slowdown in operations, Tradewind Stores is offering employees who have been…
A: The present value of the severance package offered by Tradewind Stores.Given:- Cash payment today:…
Q: Vikarmbhai
A: t1. Present Value of After-Tax Cash Flows for 4 Years from Operating SavingsCalculate the annual…
Q: Hanshaben
A: 1. **Total Options Granted**: National Corporation granted 18 million stock options on January 1,…
Q: Forest Company has five products in its inventory. Information about ending inventory follows.…
A: To solve this problem, let's first calculate the market value for each product based on the lower of…
Q: None
A: The schedule of cash receipts is a crucial tool for businesses to manage their cash flow…
Q: Hardev
A: Step 1: Compute for the Common StockThe corporation issued 79,100 shares of common stock with a par…
Q: Refer to the data provided below for Proposal A Proposal AInitial investment $100,000Cash flow…
A: Step 1: The NPV method calculates the present value of all future cash inflows and outflows of a…
Q: Taking Flight Corporation designs and produces a line of golf equipment and golf apparel. Taking…
A: On March 1, 2024, Taking Flight Corporation issued 58,000 additional shares of $1 par value common…
Q: 4. Skate Along, Inc has fixed costs of $740,000. They sell each pair of roller skates for $80 a…
A: Step 1: BEP in units Contribution margin per unit = Selling price per unit - Variable cost per…
Q: None
A: Lavage Rapide - Activity VariancesFor the Month Ended August 31Item Budget (8,100 cars) Actual…
Q: Please do not give solution in image format thanku
A: Sales [ 22,600 x $99 ] $ 2,237,400.00 Less: Cost of Goods Sold Direct Materials [ 22,600 x $23 ]$…
Q: Crystal Charm Company makes handcrafted silver charms that attach to jewelry such as a necklace or…
A: Explanation:Step 1: Calculate the standard cost per unit for silver and crystals.- Silver: Standard…
Q: Strong Arm Steve, a cash basis calendar year taxpayer, runs an illegal protection business.…
A: Let's break down the deductions for Strong Arm Steve's expenses:Operating expenses in conducting his…
Q: None
A: Compute net present value (NPV):Formulas:Since NPV is negative, the machine should not be bought.
Q: Pension Plan Entries Yuri Co. operates a chain of gift shops. The company maintains a defined…
A: a.DateDescriptionDebitCreditDec. 31Pension Expense 171,600.00 Unfunded Pension…
Q: Don't give answer in image
A: Step 1:The money a someone has left over after paying all of their own bills and debts is known as…
Q: answer in text from with all workings plus proper format
A: Part 2:Explanation:Step 1: Calculate the standard direct cost per case: - Direct materials: 3…
Q: 6.43 Caroline received the analysis below from an employee concerning four revenue proposals. Ai*,…
A: Part 2: Explanation:Step 1: Calculate the Present Value (PV) of each proposal using the formula:\[…
Q: Some please help me solve this question correctly. the answer is NOT, C or D. Both of those were…
A: Step 1:Computation of the net pension asset/liability at the end of 2024:Net pension asset/liability…
Q: Dineshbhai
A: Nov 1-2021 Cash6,600,000 Notes Payable6,600,000To record the receipt of cash from borrowing…
Q: (2 points) Suppose that we are to conduct the following hypothesis test: Ho p H₁ == 1050 1050 στ ==…
A: Step 1:H0 : μ = 1050H1 : μ > 1050n = 95σ = 250x̄ = 1090α = 0.1 Step 2:Goal:Determine test…
Q: Hardev
A: Town of FreazGovernment-Wide Statement of Net PositionJune 30, 2023(In Thousands)| Assets | |…
Q: Crane Oil Company acquired property rights to search for natural resources on land that it is…
A: Property Acquisition Cost: $15,415,170Restoration Cost: $2,360,000 (considered part of the property…
Q: Vishnu
A: Detailed explanation:The accounting equation shows that total assets is always equal to the total of…
Q: Adjustments for Deferred Tax Asset Valuation Allowance Consider the following income tax footnote…
A: Analyst Adjustments 10.3: Deferred Tax Asset Valuation Allowancea. Income Statement Adjustments…
Q: None
A: Detailed explanation:a.Closing entries are journal entries made at the end of the accounting period…
Q: Information concerning the capital structure of Pharoah Corporation is as follows: 2025 2026 Common…
A: **Step-by-Step Calculation for Diluted EPS**:1. **Calculate Adjusted Common Shares**: Start with…
Q: Sales revenue Orange Corporation has two divisions: Fruit and Flower. The following information for…
A:
Q: Falcon Co. produces a single product. Its normal selling price is $28 per unit. The variable costs…
A: Step 1:Computation of Contribution margin ParticularsAmountSpecial price of order$ 20 per unitLess:…
Q: please answer in text form and in proper format answer with must explanation , calculation for each…
A: The optimal solution for Valencia Products, determined through linear programming, is to solely…
Q: A retired 67-year-old, low-income client makes an appointment with you, a tax professional, to have…
A: Tax preparation can be difficult for a retired 67-year-old client with limited income, especially…
Q: A beginning inventory of $31,000 and a gross profit rate of 43% on net sales. Estimated cost of…
A: Calculate the estimated cost of merchandise lost using the gross profit method.Step 1: Calculate Net…
Q: Domestic
A: Step 1: Facts Increase in sales = New revenue - Old revenueIncrease in sales = $60,000 -…
Q: Chicago Company reported the following information at the end of the current year: Common stock ($10…
A: Required 1: Dividends PayableCase A: Non-cumulative Preferred StockTotal preferred dividend:…
Q: Peanut Corporation uses the periodic inventory system. During its first year of operations, Peanut…
A: To calculate the ending inventory using the LIFO (Last-In, First-Out) method, we need to assume that…
Q: Gadubhai
A: Part 2: Explanation:Step 1: Determine the total cumulative taxable gifts made by Casey.Given that…
Q: Please do not give solution in image format thanku
A: since their is no data given for the following month which will be utilized to calculate the current…
Q: Vinubhai
A: I will use Excel for run a regression analysis to find the least squares regression model, here are…
Q: Current Attempt in Progress Your answer is partially correct. Carol Leasing Company signs an…
A: December 31, 2025 (Year-end depreciation):Depreciation Expense | Debit | $20,622.70 Accumulated…
Step by step
Solved in 2 steps
- Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of $30. The companys monthly fixed expenses are $22,500. What is the companys break-even point in units? What is the companys break-even point in dollars? Construct a contribution margin income statement for the month of September when they will sell 900 units. How many units will Maple need to sell in order to reach a target profit of $45,000? What dollar sales will Maple need in order to reach a target profit of $45,000? Construct a contribution margin income statement for Maple that reflects $150,000 in sales volume.Kerr Manufacturing sells a single product with a selling price of $600 with variable costs per unit of $360. The companys monthly fixed expenses are $72,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of January when they will sell 500 units. How many units will Kerr need to sell in order to realize a target profit of $120,000? What dollar sales will Kerr need to generate in order to realize a target profit of $120,000? Construct a contribution margin income statement for the month of June that reflects $600,000 in sales revenue for Kerr Manufacturing.Marlin Motors sells a single product with a selling price of $400 with variable costs per unit of $160. The companys monthly fixed expenses are $36,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of November when they will sell 130 units. How many units will Marlin need to sell in order to realize a target profit of $48,000? What dollar sales will Marlin need to generate in order to realize a target profit of $48.000? Construct a contribution margin income statement for the month of February that reflects $200,000 in sales revenue for Marlin Motors.
- Schylar Pharmaceuticals, Inc., plans to sell 130,000 units of antibiotic at an average price of 22 each in the coming year. Total variable costs equal 1,086,800. Total fixed costs equal 8,000,000. (Round all ratios to four significant digits, and round all dollar amounts to the nearest dollar.) Required: 1. What is the contribution margin per unit? What is the contribution margin ratio? 2. Calculate the sales revenue needed to break even. 3. Calculate the sales revenue needed to achieve a target profit of 245,000. 4. What if the average price per unit increased to 23.50? Recalculate: a. Contribution margin per unit b. Contribution margin ratio (rounded to four decimal places) c. Sales revenue needed to break even d. Sales revenue needed to achieve a target profit of 245,000Faldo Company produces a single product. The projected income statement for the coming year, based on sales of 200,000 units, is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. Suppose that 30,000 units are sold above the break-even point. What is the profit? 2. Compute the contribution margin ratio and the break-even point in dollars. Suppose that revenues are 200,000 greater than expected. What would the total profit be? 3. Compute the margin of safety in sales revenue. 4. Compute the operating leverage. Compute the new profit level if sales are 20 percent higher than expected. 5. How many units must be sold to earn a profit equal to 10 percent of sales? 6. Assume the income tax rate is 40 percent. How many units must be sold to earn an after-tax profit of 180,000?If a company has fixed costs of $6.000 per month and their product that sells for $200 has a contribution margin ratio of 30%, how many units must they sell in order to break even? A. 100 B. 180 C. 200 D. 2,000
- Markson and Sons leases a copy machine with terms that include a fixed fee each month plus acharge for each copy made. Markson made 9,000 copies and paid a total of $480 in January. In April, they paid $320 for 5,000 copies. What is the variable cost per copy if Markson uses the high-low method to analyze costs?Delta Co. sells a product for $150 per unit. The variable cost per unit is $90 and fixed costs are $15,250. Delta Co.s tax rate is 36% and the company wants to earn $44,000 after taxes. What would be Deltas desired pre-tax income? What would be break-even point in units to reach the income goal of $44,000 after taxes? What would be break-even point in sales dollars to reach the income goal of $44000 after taxes? Create a contribution margin income statement to show that the break-even point calculated in B, generates the desired after-tax income.Gelbart Company manufactures gas grills. Fixed costs amount to 16,335,000 per year. Variable costs per gas grill are 225, and the average price per gas grill is 600. Required: 1. How many gas grills must Gelbart Company sell to break even? 2. If Gelbart Company sells 46,775 gas grills in a year, what is the operating income? 3. If Gelbart Companys variable costs increase to 240 per grill while the price and fixed costs remain unchanged, what is the new break-even point?
- Klamath Company produces a single product. The projected income statement for the coming year is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. 2. Suppose 10,000 units are sold above break-even. What is the operating income? 3. Compute the contribution margin ratio. Use the contribution margin ratio to compute the break-even point in sales revenue. (Note: Round the contribution margin ratio to four decimal places, and round the sales revenue to the nearest dollar.) Suppose that revenues are 200,000 more than expected for the coming year. What would the total operating income be?Olivian Company wants to earn 420,000 in net (after-tax) income next year. Its product is priced at 275 per unit. Product costs include: Variable selling expense is 14 per unit; fixed selling and administrative expense totals 290,000. Olivian has a tax rate of 40 percent. Required: 1. Calculate the before-tax profit needed to achieve an after-tax target of 420,000. 2. Calculate the number of units that will yield operating income calculated in Requirement 1 above. (Round to the nearest unit.) 3. Prepare an income statement for Olivian Company for the coming year based on the number of units computed in Requirement 2. 4. What if Olivian had a 35 percent tax rate? Would the units sold to reach a 420,000 target net income be higher or lower than the units calculated in Requirement 3? Calculate the number of units needed at the new tax rate. (Round dollar amounts to the nearest dollar and unit amounts to the nearest unit.)Dimitri Designs has capacity to produce 30,000 desk chairs per year and is currently selling all 30,000 for $240 each. Country Enterprises has approached Dimitri to buy 800 chairs for $210 each. Dimitris normal variable cost is $165 per chair, including $50 per unit in direct labor per chair. Dimitri can produce the special order on an overtime shift, which means that direct labor would be paid overtime at 150% of the normal pay rate. The annual fixed costs will be unaffected by the special order and the contract will not disrupt any of Dimitris other operations. What will be the impact on profits of accepting the order?
