Tables Chairs Sales Price $ 800 600 S 70 25 Variable manufacturing costs Sales commission (10%) 80
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Analyzing profitability
Father Furniture Company manufactures and sells oak tables and chairs. Price and cost data for the furniture follow:
Father Furniture has three sales representatives: Adam, Ben, and Caleb. Adam sold 100 tables With 6 chairs each. Ben sold 110 tables With 4 chairs each. Caleb sold 80 tables with 8 chairs each.
Requirements
- Calculate the total contribution margin and the contribution margin ratio for each sales representative (round to two decimal places).
- Which sales representative has the highest contribution margin ratio? Explain Why
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- u.om/mod/quiz/attempt.php?attempt3D18933338&cmid%3D891193&page%=D15 NG SYSTEM (ACADEMIC) cerial Accounting - Spring21 Time left 0:31:27 The contribution margin ratio is 70%. If total fixed costs are $23,000, then what is the total cost ($) of producing and selling 66,550 units? The selling price is $3 per unit. O a. 59,895 O b. None of the given answers O . 176,650 O d. 116,755 O e. 139,755 CLEAR MY CHOICE FINISH ATTEMPT ... AGERevenue$4500 Variable non manufacturing$900Variable Manufacturing Costs$810Fixed manufacturing costs630 Fixed nonmanufacturing $545Compute gross margin?(e) Product Blue Product Red £ £Selling £12.00 £24.00Variable cost £ 4.00 £ 8.00Contribution margin £ 8.00 £16.00Fixed costs apportioned £200,000 £400,000Budgeted Sales Units 140,000 60,000Required:Calculate the breakeven points, for each product and the company as a wholeand comment on your findings
- Sales are 250000 OMR, variable cost = 120000 OMR, Fixed cost 90000 calculate BEP sales a. 176076.9 OMR b. 175076.9 OMR c. 173076.9 OMR d. 174076.9 OMRRequired Information [The following information applies to the questions displayed below.] Use the following information: P1 P2 Department Cost Service 1 (51) $115,000 Service 2 (52) 47,000 Production 1 375,000 (P1) Production 2 (P2) Total 246,000 $783,000 Percentage Service Provided to S1 0% S2 P1 P2 25% 30% 45% 20 60 20 0 What percentage of S1's costs is allocated to P1 and to P2 under the direct method? Service Department 1's CostsCost Planning for Product Life Cycle... 229 RM800 Revenue Costs Research and development Prototypes Marketing Distribution Year 1 P 900,000 1,150,000 550,000 124,000 170,000 85,000 -0- P(1,179,000) Year 2 Year 3 P1,800,000 P2,000,000 -0- -0- 30,000 200,000 300,000 600,000 20,000 P 650,000 10,000 260,000 410,000 700,000 10,000 P 610,000 Manufacturing Customer service Income Required: 1. How would a product life-cycle income statement differ from this calendar- year income statement? 2. Prepare a three-year life-cycle income statement for both products. Which product appears to be more profitable? 3. Prepare a schedule showing each cost category as a percentage of total annual costs. Pay particular attention to the research and development and customer service categories. What do you think this indicates about the profitability of each product over the three-year life cycle?
- Sales revenue is $725,700; allocated manufacturing overhead is $95,100; actual manufacturing overhead is $120,500; and cost of goods sold before adjustment is $380,300. What is the actual gross profit? Question 47 options: $224,900 $320,000 $370,800 $345,400Sales price per unit R15 R19Variable cost per unit R6 R7Fixed cost (FC) per annum R650 000 R 855 500Fixed cost per unit R3 R4 Current assets R450 600 R560 700Current liabilities R510 000 R780 000Retained profit R21 809 R17 600Net Sales R2 900 320 R 3 100 100Cost of sales R390 000 R475 000 Calculate the break‐even point for 2019 and 2020. The current ratio reflects the relationship between the value of the current assets and the extent of the current liabilities of a businessSCRUMPTIOUS CUPCAKESProfit and loss accountfor the year ended 30 April 20202020£SalesSales 220,000Cost of sales 120,000Gross Profit 100,000ExpensesSalaries 24,000Other Fixed cost 4,800Distribution 3,000Advertising 4,500Rent 13,200AHUtilities 3,600Other Cost 4,00057,100Operating Profit 42,900 SCRUMPTIOUS CUPCAKESBalance Sheetas at 30 April 20202020£Fixed assetsIntangible assets -Tangible assets 35,000Investments -35,000Current assetsStocks 3,000Debtors 10,000Cash at bank and in hand 6,30019,300Written ReportsCreditors: amounts falling duewithin one year (11,300)Net Current Assets 8,000Total assets less currentliabilities 43,000Net Assets 43,000Capital and reservesCalled up share capital 100Profit and loss account 42,900Shareholders' funds 43,000 please calculate the folliwing ratios: Profitability Ratios – Gross Profit Margin, Net Profit Margin and ROCE● Liquidity – Current Test and Acid Test● Gearing● Activity/Performance – Stock Turnover, Debtors’ Collection Period and AssetTurnover…
- E15.24) Economic order quantity For each of the following independent cases, use the EOQ equation to calculate the economic order quantity: Case A Case B Case C Annual requirement (in units) 13230 1681 560 Incremental cost per order $250 $40 $10 Annual carrying cost per unit $6 $20N3 nit Sales Price: $100 Unit Buying Price: $ 34 Unit Sales Premium: $ 6 Annual Rent Cost: $150.000 Annual Salaries: $350.000 Annual Advertisement Cost: $100.000 Calculate the break-even point activity and break-even point sales in dollarsSales 60,000 ACquestion Variable Overheads. 36,0000 Contribution 1,15,000 Fixed Overheads Profit 86400 Find out Profit-Volume Ratio and Break-even-point... ( Handwriting solution not required...)