Refer to Acme Company. How many units must Acme sell to earn a profit of $40,000?
52.What formula is used to calculate the sales dollars needed to earn a desired profit?
a.(fixed costs + contribution margin)/(1 ? variable cost ratio)
b.(fixed costs + desired profit)/(1 ? variable cost ratio)
c.(fixed costs + variable costs)/(1 ? variable cost ratio)
d.(fixed costs + desired profit)/(1 ? sales ratio)
53.What is the ratio of fixed expenses to the contribution margin ratio?
a.the break-even point in sales
b.the break-even point in units
c.the variable cost ratio
d.the margin of safety
54.Assume the following information:
Variable cost ratio80%
Total fixed costs$60,000
What volume of sales dollars is needed to break even?
55.Baker Company sells its product for $60. It has a variable cost ratio of 40% and total fixed costs of $9,000. What is the break-even point in sales dollars?
56.Rebecca Inc. sells only one product at a regular price of $7.50 per unit. Variable expenses are 60% of sales, and fixed expenses are $30,000. Management has decided to decrease the selling price to $6.00 in hopes of increasing its volume of sales. How many sales (in dollars) were required to break even at the old price of $7.50 per unit?
57.Patricia Company produces two products, X and Y, which account for 60% and 40%, respectively, of total sales dollars. Contribution margin ratios are 50% for X and 25% for Y. Total fixed costs are $120,000. What is Patricia’s break-even point in sales dollars?
58.Information about the Harmon Company’s two products is as follows:
Product XProduct Y
Unit selling price$9.00$9.00
Unit variable costs:
Monthly fixed costs are as follows:
Selling and administrative 45,000
Suppose the sales mix in units is 70% Product X and 30% Product Y. What is the total monthly sales volume in units required to break even?
Yerke Company makes children’s jungle gyms and tree houses. The price of jungle gyms is $120, and its variable expenses are $90 per unit. The price of tree houses is $200, and its variable expenses are $100. Total fixed expenses are $253,750. Last year, Yerke sold 12,000 gyms and 4,000 tree houses.
59.Refer to Yerke Company. Yerke expects tree house demand to increase from 4,000 to 8,000 units. What is the sales revenue at break-even?
60.Refer to Yerke Company. Yerke expects tree house demand to increase from 4,000 to 8,000 units per year. What is the new contribution margin ratio?
What are the techniques of financial statement analysis?Jul 23 2021
What is the highest frequency component in the output of an integrator with τ = 10μs? Assume that 5τ WJul 31 2020
The system IS Initially rotating freely with angular velocity ω1-17 rad s when the inner rod Ais centered length se within he ollow cylinder Bass n he re. Determine the a...Jul 04 2020
Modeling DataThe circumference C (in inches) of a vase is measured at three-inch intervals starting at its base. The measurements are shown in the table, where y is the v...Jul 25 2021
how many atoms of ca are present in 8.6 mg the atomic weight of ca is 40.08 amu?Jun 28 2021
How can pharmaceutical companies and government work together to combat Opioids abuse.Mar 21 2020
Briefly describe the benefits of inward FDI for a host country that arise from employment effects and balance-of-payments effects. 132.What are the benefits of FDI to the...Jan 11 2020
A triangular access port must be provided in the side of aform containg liquid concrete. Using the coordinates and dimensionsshown, determine the resultant forcethat acts...Apr 26 2020
When a battery company claims that their batteries last longer than 100 hours and a consumer group wants to test this claim, the hypotheses should be: Ho: u 100 True 1 1...Apr 21 2021
identify the class width, class midpoints, and class boundaries for the given frequency distribution. Also identify the number of individuals included in the summary. ...May 18 2021