Question

A production plant with fixed costs of $3,200,000 produces a product with variable costs of $140...

A production plant with fixed costs of $3,200,000 produces a product with variable costs of $140 per unit and sells them at $300 each.
What is the break-even cost? Illustrate with a break-even chart.
Business   Operations-Management   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
4.Kent Manufacturing produces a product that sells for $60.00. Fixed costs are $198,000 and variable costs...
4.Kent Manufacturing produces a product that sells for $60.00. Fixed costs are $198,000 and variable costs are $24.00 per unit. Kent can buy a new production machine that will increase fixed costs by $11,880 per year, but will decrease variable costs by $3.60 per unit. Compute the revised break-even point in dollars with the purchase of the new machine. $330,000. $300,000. $349,800. $264,000.
Manufacturing Ltd produces and sells a single product. Fixed costs are ​£360,000 per year and the​...
Manufacturing Ltd produces and sells a single product. Fixed costs are ​£360,000 per year and the​ break-even point of the business is 50,000 units. The profit each year is ​£290,000 Each product sells for ​£35 . ​Calculate: 1.The variable cost per unit 2.The number of units sold each year 3.The margin of safety
1. Based on predicted production of 25,900 units, a company anticipates $400,000 of fixed costs and...
1. Based on predicted production of 25,900 units, a company anticipates $400,000 of fixed costs and $492,100 of variable costs. If the company actually produces 19,800 units, what are the flexible budget amounts of fixed and variable costs? ------Flexible Budget------ ------Flexible Budget at ------ Variable Amount per Unit Total Fixed Cost 25,900 units 19,800 units Total budgeted costs 2. SBD Phone Company sells its waterproof phone case for $90 per unit. Fixed costs total $194,400, and variable costs are $36...
Wardley Corporation sells its product for $40. The variable costs are $18 per unit. Fixed costs...
Wardley Corporation sells its product for $40. The variable costs are $18 per unit. Fixed costs are $16,000. The company is considering the purchase of an automated machine that will result in a $2 reduction in unit variable costs and an increase of $5,000 in fixed costs. Which of the following is true about the break-even point in units?         It will increase.         It cannot be determined from the information provided.         It will remain unchanged....
Variable Cost Method of Product Pricing Smart Stream Inc. produces and sells cell phones. The costs...
Variable Cost Method of Product Pricing Smart Stream Inc. produces and sells cell phones. The costs of producing and selling 4,500 units of cell phones are as follows: Variable costs: Fixed costs:     Direct materials $ 70 per unit     Factory overhead $141,400     Direct labor 32     Selling and admin. exp. 49,700     Factory overhead 21     Selling and admin. exp. 17      Total variable cost per unit $140 per unit Smart Stream Inc. desires a profit equal to a 15% rate of return on invested...
A product sells for $30 per unit and has a variable costs of $17.75 per unit....
A product sells for $30 per unit and has a variable costs of $17.75 per unit. The fixed costs are $967,750. If the variable cost per unit or to decrease to $15.50 per unit, fixed costs increase to $1,145,500, and the selling price does not change, break even point in units would: A) equal 6000 B) Decrease by 25,742 C) Not change D) Increase by 25,742 E) increase by 5925
The DeWayne Company sells binoculars for $140 per unit. The variable cost is $100 per unit...
The DeWayne Company sells binoculars for $140 per unit. The variable cost is $100 per unit while the      fixed costs are $1,200,000.       Compute: The anticipated break-even sales (units) for binoculars. The sales (units) for binoculars required to realize target operating income of $400,000. Determine the probable operating income (loss) if sales total 32,000 units. If selling price goes up to $150 per unit while all costs remain the same, what is the new break-even point?
Howard Company sells its product for $40. The variable costs are $24. The fixed costs are...
Howard Company sells its product for $40. The variable costs are $24. The fixed costs are $80,000. What is the contribution margin? What is the break even in units? What is the break even in sales dollars? What is the break even in units if they want $160,000 in profits? A. 15000 B. $200,000 C. $24 D. 16 E. 5000 F. 3333 G. 10000
1) Bears Company sells a product for $15 per unit. The variable cost is $10 per...
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...
The DeWayne Company sells binoculars for $140 per unit. The variable cost is $100 per unit...
The DeWayne Company sells binoculars for $140 per unit. The variable cost is $100 per unit while the      fixed costs are $1,200,000.       Compute: The anticipated break-even sales (units) for binoculars. The sales (units) for binoculars required to realize the target operating income of $400,000. Determine the probable operating income (loss) if sales total of 32,000 units. If the selling price goes up to $150 per unit while all costs remain the same, what is the new break-even...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT