Haresh US-Mobile manufactures and sells two products, tablet computers (50% of sales) and smartphones (50% of sales) Fixed costs are$450,000, and the weighted average contribution margin per unit is $90. How many units of each product are sold at the break-evenpoint?Determine the break even point in units.Numerator:1MDenominator:Total fixed costs=Weighted average contribution margin per unit$90.00E$450,000Determine the number of units of each product that will be sold at the break even point.Tablet computersSmartphonesBreak Even UnitsBreak even units5,000 units

Break even point :— It is the point of production where total cost is equal to total revenue. At…

Answered: US-Mobile manufactures and sells two…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 7PA: Manatoah Manufacturing produces 3 models of window air conditioners: model 101, model 201, and model...

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Polaris Inc. manufactures two types of metal stampings for the automobile industry: door handles and trim kits. Fixed cost equals 146,000. Each door handle sells for 12 and has variable cost of 9; each trim kit sells for 8 and has variable cost of 5. Required: 1. What are the contribution margin per unit and the contribution margin ratio for door handles and for trim kits? 2. If Polaris sells 20,000 door handles and 40,000 trim kits, what is the operating income? 3. How many door handles and how many trim kits must be sold for Polaris to break even? 4. CONCEPTUAL CONNECTION Assume that Polaris has the opportunity to rearrange its plant to produce only trim kits. If this is done, fixed costs will decrease by 35,000, and 70,000 trim kits can be produced and sold. Is this a good idea? Explain.
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 245,000
Morris Industries manufactures and sells three products (AA, BB, and CC). The sales price and unit variable cost for the three products are as follows: Their sales mix s reflected as a ratio of 5:3:2. Annual fixed costs shared by the three products are $25,000 per year. What are total variable costs for Morris with their current product mix? Calculate the number of units of each product that will need to be sold in order for Morris to break even. What is their break-even point in sales dollars? Using an income statement format, prove that this is the break-even point.
Manatoah Manufacturing produces 3 models of window air conditioners: model 101, model 201, and model 301. The sales price and variable costs for these three models are as follows: The current product mix is 4:3:2. The three models share total fixed costs of $430,000. Calculate the sales price per composite unit. What is the contribution margin per composite unit? Calculate Manatoahs break-even point in both dollars and units. Using an income statement format, prove that this is the break-even point.
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
Abilene Industries manufactures and sells three products (XX, W, and ZZ). The sales price and unit variable cost for the three products are as follows: Their sales mix is reflected as a ratio of 4:2:1. Annual fixed costs shared by the three products are $345.000 per year. What are total variable costs for Abilene with their current product mix? Calculate the number of units of each product that will need to be sold in order for Abilene to break even. What is their break-even point in sales dollars? Using an income statement format, prove that this is the break-even point.
US-Mobile manufactures and sells two products, tablet computers and smartphones, in the ratio of 5:3. Fixed costs are $111,360, and the contribution margin per composite unit is $128. What number of each type of product is sold at the break-even point? Determine the break-even point in composite units. Choose Numerator: Choose Denominator: Break Even Units %3D Break even units Determine the number of units of each product that will be sold at the break-even point. Quantity Number of composite units to break even. Unit sales at break-even point Tablet computers Smartphones Total units II II
Tiktok Company distributes a lightweight lawn chair that sell for P150 per unit. Variable costs are P60 per unit, and fixed costs total P1,800,000 annually. Required: 1. What is the product's CM Ratio?2. Use the CM ratio to determine the break-even point in sales pesos.
US-Mobile manufactures and sells two products, tablet computers (45% of sales) and smartphones (55% of sales). Fixed costs are $850,000, and the weighted-average contribution margin per unit is $85. How many units of each product are sold at the break-even point? Determine the break-even point in units. Numerator: Total fixed costs $ Answer is complete but not entirely correct. Denominator: Weighted-average contribution margin per unit = = 850,000/ $ 85.00✔ = Determine the number of units of each product that will be sold at the break-even point. Tablet computers 85 x Smartphones 55 X Break Even Units Break even units units 10,000
US-Mobile manufactures and sells two products, tablet computers (70% of sales) and smartphones (30% of sales). Fixed costs are $990,000, and the weighted-average contribution margin per unit is $110. How many units of each product are sold at the break-even point? Determine the break-even point in units. Numerator: 1 Denominator: / Weighted-average contribution margin per unit Total fixed costs $ ||||| 110.00 wwwwwww. 990,000 / $ Determine the number of units of each product that will be sold at the break-even point. Tablet computers 1,286 Smartphones 30,000 mane Break Even Units Break even units 9,000 units < Prev 8 of 8 Next
US-Mobile manufactures and sells two products, tablet computers and smartphones, in the ratio of 5:3. Fixed costs are $105,000, and the contribution margin per composite unit is $125. What number of each type of product is sold at the break-even point?
Success Sdn Bhd sells lorries. During the current year, 100 lorries were sold resulting inRM820,000 of sales revenue, RM250,000 of variable costs, and RM342,000 of fixedcosts. Required: Calculatea. the number of lorries that must be sold to achieve RM300,000 of operatingincome. b. the contribution margin at the breakeven point of 2,000 units, variable coststotal RM4,000 and fixed costs total RM6,000. c. Explain the term breakeven point.

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