Bolton Inc. provided the following information for Quarter 1 of 20YY: Data Table Accounts Amount Sales per unit $50 Variable cost per unit $25 Fixed costs $90,000 Determine the sales revenue (dollar) necessary to earn a profit of $500,000 in the first quarter. Group of answer choices $590,000 $23,600 $1,180,000 $180,000

Bolton Inc. provided the following information for Quarter 1 of 20YY: Data Table Accounts Amount Sales per unit $50 Variable cost per unit $25 Fixed costs $90,000 Determine the sales revenue (dollar) necessary to earn a profit of $500,000 in the first quarter. Group of answer choices $590,000 $23,600 $1,180,000 $180,000

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 17E

See similar textbooks

Accounts	Amount
Sales per unit	$50
Variable cost per unit	$25
Fixed costs	$90,000

Similar questions

CVP Analysis, *What IT?" AnalysisKevin Co. projected contribution-format income statement for the upcoming month is shownBelow Sales (500 units) $10000Variable expenses. 4000Contributions margin. 6000Fixed expenses. 1000Net operating income. 5000Required:a.) Compute the breakeven point in units.b) Compute the breakeven paint in dollars.c.) If the company wishes to earn a monthly target profit of $10,000, how many units must be sold each month?d.) Compute the company's margin of safety. State your answer in both dollar and percentage terms,e.) The company's manager thinks that adding a salaried sales staff member at a cost of 52,000 per month will increase sales by $4,000 per month. If he is correct, what will be the net dollar advantage or disadvantage of making this change?t.) Refer to the original data, the company's manager believes that a new production process will improve profitability. He plans to add new machinery that will cut variable expenses…
How many units will Cadre need to sell in order to realize a target profit of $300,000? Use commas as needed (i.e. 1,234). What dollar sales will Cadre need to generate in order to realize a target profit of $300,000? Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345). Construct a contribution margin income statement for the month of November that reflects $2,400,000 in sales revenue for Cadre, Inc. Rounded to whole dollars and shown with "$" and commas as needed (i.e. $12,345). Cadre Inc. Contribution Margin Income Statement For the Month of November
Eastwick produces and sells three products. Last month's results are as follows: P1 P2 P3Revenues $ 100,000 $ 200,000 $ 200,000Variable costs 40,000 140,000 80,000Fixed costs total $200,000. What sales volume would generate an operating profit of $150,000? (Assume the current product mix.)
A merchandising company has provided the following contribution format incomestatement:Sales (10,000 units) $ 700,000Variable expenses 350,000Contribution margin 350,000Fixed expenses 85,000Net operating income $ 265,000(a) What is the total contribution margin? (b) What is the unit contribution margin? Show your calculations. **Pls help me in clear soultion with accurate answer pls thanks
a. Young Company budgets sales of $1,040,000, fixed costs of $53,800, and variable costs of $239,200. What is the contribution margin ratio for Young Company?fill in the blank 1 % b. If the contribution margin ratio for Martinez Company is 57%, sales were $515,000, and fixed costs were $199,610, what was the operating income?$fill in the blank 2
The following is last month's contribution format income statement: Total Sales (12,000) $300,000 Variable costs $225,000 Contribution margin $75,000 Fixed costs $56,000 Net income $19,000 What is the company's margin of safety expressed in units? O A. 2,500 B. 3,040 O C. 8,960 O D. 12,000
A company reports the following for this year. Units sold 1,800 units Sales price per unit $ 36 Variable costs per unit $ 17 Total fixed costs $ 27,360 Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute the income in dollars if the company increases sales by 5% next year. Income in dollars < Required B
Whirly Corporation's contribution format income statement for the most recent month is shown below: Per Unit $34.00 19.00 126,000 $ 15.00 54,700 $ 71,300 Sales (8,400 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case independently): Total $ 285,600 159,600 1. What would be the revised net operating income per month if the sales volume increases by 50 units? 2. What would be the revised net operating income per month if the sales volume decreases by 50 units? 3. What would be the revised net operating income per month if the sales volume is 7,400 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income +
A recent income statement of Company A reported the following data: Units sold 8,000Sales revenue ₱7,200,000Variable costs ₱4,000,000Fixed costs ₱1,600,000 If the company desired to earn a target net profit of ₱480,000, it would have to sell:A. 1,200 units. B. 2,800 units. C. 4,000 units. D. 5,200 units.
Waterman's WaterWorld Tourist Park has collected the following data for operations for the year: $ 2,000,000 $ 546,875 Total revenues Total fixed costs Total variable costs Total tickets sold $ 1,125,000 50,000 Required: a. What is the average selling price for a ticket? b. What is the average variable cost per ticket? Note: Round your final answer to 2 decimal places. c. What is the average contribution margin per ticket? Note: Do not round intermediate calculations. Round your final answer to 2 decimal places. d. What is the break-even point? Note: Do not round intermediate calculations. e. Waterman's management has decided that unless the operation can earn at least $140,000 in operating profits, they will close it down. What number of tickets must be sold for Waterman's to make a $140,000 operating profit for the year on ticket sales? Note: Do not round intermediate calculations. a. Average selling price b. Average variable cost c. Average contribution margin d. Break-even point e.…
For Sheridan Company, sales is $2000000, fixed expenses are $900000, and the contribution margin ratio is 36%. What is required sales in dollars to earn a target net income of $700000? A. $4444444 B. $5555556 C. $2500000 D. $1944444
Given below are part of the recent income statement of Golden Corporation reported this year: Sales revenue P 10,000,000 Variable costs 6,000,000 Fixed costs 3,200,000 If these data are based on the sale of 10,000 units, the contribution margin per unit would be: 80 280 400 920 Group of answer choices 1 2 3 4