Question

Harmony Company sells a product for $50 per unit. Variable costs
per unit are $30, and monthly fixed costs are $ 150,000.

C. Assume they achieve the level of sales required in part
what is the margin of safety in sales dollars?

Break Even Point in Units: 7500

Level of sales from part b: $12500

Answer #1

Harmony sells a product for $50 per unit. Variable costs per
unit are $18, and monthly fixed costs are $252,800. a. What is the
break-even point in units? b. What unit sales would be required to
earn a target profit of $198,400? c. Assume they achieve the level
of sales required in part b, what is the degree of operating
leverage? (Round your answer to 2 decimal place.) d. If sales
increase by 40% from that level, by what percentage...

Jasmine Inc. sells a product for $60 per unit. Variable costs
per unit are $32, and monthly fixed costs are $210,000.
a. What is the break-even point in
units?
b. What unit sales would be required to earn a
target profit of $159,600?
c. Assume they achieve the level of sales required
in part b, what is the margin of safety in sales dollars?

Halifax Products sells a product for $108. Variable costs per
unit are $55, and monthly fixed costs are $111,300.
a. What is the break-even point in
units?
b. How many units would need to be sold to earn a
target profit of $206,700?
c. Assuming they achieve the level of sales
required in part b, what is the margin of safety in sales
dollars?

1) Bears Company sells a product for $15 per unit. The
variable cost is $10 per unit and fixed costs are $1,750,000.
Determine:
The Break-Even point in sales units
The Break-Even point if selling price were increased to
$655 per unit
2) Bear Company sells a product for $15 per unit. The
Variable cost is $10 per unit and fixed costs are $1,750,000.
Determine:
The Break-Even Point in sales units
The Sales units required for the company to achieve a...

Cooper Company sells a product at $50 per unit that has unit
variable costs of $20. The company's break-even sales point in
sales dollars is $150,000. How much profit will the company make if
it sells 4,000 units?
A. $210,000
B. $120,000
C. $60,000
D. $30,000

Blanchard Company manufactures a single product that sells for
$100 per unit and whose total variable costs are $76 per unit. The
company’s annual fixed costs are $338,400.
(1) Prepare a contribution margin income statement for Blanchard
Company at the break-even point.
BLANCHARD COMPANY
Contribution Margin Income Statement (at Break-Even)
Amount
Percentage
of sales
%
Sales
Variable costs
Contribution margin
Fixed costs
$
(2) Assume the company’s fixed costs increase by $126,000. What
amount of sales (in dollars) is needed...

Cantor Products sells a product for $85. Variable costs per unit
are $35, and monthly fixed costs are $235,000.
a. What is the break-even point in units?
b. What unit sales would be required to earn a
target profit of $330,000?
c. Assume they achieve the level of sales required
in part b, what is the degree of operating leverage? (Round
your answer to 3 decimal places.)
d. If sales decrease by 30% from that level, by
what percentage...

Blanchard Company manufactures a single product that sells for
$110 per unit and whose total variable costs are $88 per unit. The
company’s annual fixed costs are $308,000.
(1) Prepare a contribution margin income statement for Blanchard
Company at the break-even point.
BLANCHARD COMPANY
Contribution Margin Income Statement (at Break-Even)
Amount
Percentage
of sales
Sales
Variable costs
Contribution margin
Fixed costs
Net income
Sales
Variable costs
Contribution margin
Fixed costs
Net income
%
Sales
Variable costs
Contribution margin
Fixed costs...

Target Profit
Outdoors Company sells a product for $185 per unit. The variable
cost is $70 per unit, and fixed costs are $563,500.
Determine (a) the break-even point in sales units and (b) the
sales units required for the company to achieve a target profit of
$101,430.
a. Break-even point in sales units
units
b. Break-even point in sales units required
for the company to achieve a target profit of $101,430
units

Target Profit
Outdoors Company sells a product for $245 per unit. The variable
cost is $85 per unit, and fixed costs are $1,184,000.
Determine (a) the break-even point in sales units and (b) the
sales units required for the company to achieve a target profit of
$355,200.
a. Break-even point in sales units
units
b. Break-even point in sales units required
for the company to achieve a target profit of $355,200
units

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 3 minutes ago

asked 3 minutes ago

asked 3 minutes ago

asked 4 minutes ago

asked 5 minutes ago

asked 6 minutes ago

asked 7 minutes ago

asked 7 minutes ago

asked 14 minutes ago

asked 14 minutes ago

asked 21 minutes ago

asked 27 minutes ago