Question

specifically number 3 please

Last month, Laredo Company sold 540 units for $34 each. During
the month, fixed costs were $2,700 and variable costs were $14 per
unit.

**Required:
1.** Determine the unit contribution margin and contribution
margin ratio.

Answer #1

1. Determine the unit contribution margin and contribution margin ratio. |

contribution margin =Sales price-Variable cost =34-14 =$20 |

contribution margin ratio =contribution margin/sales =20/34 =58.82% |

2Calculate the break-even point in units and sales dollars |

break-even point in units =Fixed Cost\Contrbution Margin =2700/20 =135 units |

sales dollars =135*34 =4590 |

3Compute Laredo’s margin of safety in units and as a percentage of sales. |

margin of safety in units(Sales-break even sales) =540-135=405 Units |

Percentage of Sales =405/540 =75% |

E6-10 (Algo) Calculating Contribution Margin, Contribution
Margin Ratio, Margin of Safety [LO 6-2, 6-3]
Last month, Laredo Company sold 540 units for $70 each. During
the month, fixed costs were $4,704 and variable costs were $42 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.
Complete
this question by entering your answers...

In the month of September, Matlock Industries sold 800 units of
product. The average sales price was $30. During the month, fixed
costs were $6,300 and variable costs were 70% of sales.
Determine the contribution margin in dollars, per unit, and as a
ratio.
Contribution margin (in dollars)
$
Unit contribution margin
$
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...

Menlo Company distributes a single product. The company’s sales
and expenses for last month follow:
Total
Per Unit
Sales
$
318,000
$
20
Variable expenses
222,600
14
Contribution margin
95,400
$
6
Fixed expenses
76,800
Net operating income
$
18,600
Required:
1. What is the monthly break-even point in unit
sales and in dollar sales?
2. Without resorting to computations, what is
the total contribution margin at the break-even point?
3-a. How many units would have...

In the month of June, Jose Hebert’s Beauty Salon gave 4,300
haircuts, shampoos, and permanents at an average price of $40.
During the month, fixed costs were $16,500 and variable costs were
75% of sales.
Determine the contribution margin in dollars, per unit and as a
ratio. (Round contribution margin per unit and
contribution margin ratio to 2 decimal places, e.g. 5.25 &
10.50.)
Contribution margin
$
Contribution margin per unit
$
Contribution margin ratio
%
eTextbook and Media
...

Menlo Company distributes a single product. The company’s sales
and expenses for last month follow:
Total
Per Unit
Sales
$
316,000
$
20
Variable
expenses
221,200
14
Contribution
margin
94,800
$
6
Fixed
expenses
78,000
Net operating
income
$
16,800
Required:
1. What is the monthly break-even point in unit sales and in
dollar sales?
Break Even Point in unit sales
Break
Even Point in dollar sales
2. Without resorting to computations, what is the total
contribution margin at...

Exercise 6-2 (Video)
In the month of June, Jose Hebert’s Beauty Salon gave 4,200
haircuts, shampoos, and permanents at an average price of $40.
During the month, fixed costs were $16,800 and variable costs were
75% of sales.
Determine the contribution margin in dollars, per unit and as a
ratio. (Round contribution margin and contribution
margin per unit to 2 decimal places, e.g.
5.75.)
Contribution margin
$
Contribution margin per unit
$
Contribution margin ratio
%
LINK TO TEXT
Using...

Break-Even Units, Contribution Margin Ratio, Margin of
Safety
Khumbu Company's projected profit for the coming year is as
follows:
Total
Per Unit
Sales
$3,331,250
$41.00
Total variable cost
999,375
12.30
Contribution
margin
$ 2,331,875
$ 28.7
Total fixed cost
1,009,369
Operating income
$ 1,322,506
Required:
1. Compute the break-even point in units. If
required, round your answer to nearest whole value.
units
2. How many units must be sold to earn a profit
of $240,000? If required, round your answer...

Break-Even Units, Contribution Margin Ratio, Margin of
Safety
Khumbu Company's projected profit for the coming year is as
follows:
Total
Per Unit
Sales
$2,030,000
$40.00
Total variable cost
568,400
11.20
Contribution margin
$ 1,461,600
$ 28.8
Total fixed cost
539,980
Operating income
$ 921,620
Required:
1. Compute the break-even point in units. If
required, round your answer to nearest whole value.
units
2. How many units must be sold to earn a profit
of $240,000? If required, round your answer...

Break-Even Units,
Contribution Margin Ratio, Margin of Safety
Khumbu Company's
projected profit for the coming year is as follows:
Total
Per Unit
Sales
$3,150,000
$45.00
Total variable cost
819,000
11.70
Contribution
margin
$2,331,000
$ 33.3
Total fixed cost
819,000
Operating income
$1,512,000
Required:
1.
Compute the break-even point in units. If required, round your
answer to nearest whole value.
______ units
2.
How many units must be sold to earn a profit of $240,000? If
required, round your answer to...

Break-Even Units, Contribution Margin Ratio, Margin of
Safety
Khumbu Company's projected profit for the coming year is as
follows:
Total
Per Unit
Sales
$1,700,000
$25.00
Total variable cost
476,000
7.00
Contribution
margin
$ 1,224,000
$ 18
Total fixed cost
504,560
Operating income
$ 719,440
Required:
1. Compute the break-even point in units. If
required, round your answer to nearest whole value.
units
2. How many units must be sold to earn a profit
of $240,000? If required, round your answer...

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