Menlo Company distributes a single product. The company's sales and expenses for last month follow: Sales Variable expenses Contribution margin Fixed expenses Net operating income Total $ 624,000 436,800 187,200 146,400 $ 40,800 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 to be sold each month to attain a target profit of $61,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $64,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? Req 1 Complete this question by entering your answers in the tabs below. Req 2 Per Unit $ 40 28 $ 12 Req 3A Req 3B 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 units Req 4 < Req 1 Req 5 Req 2 >

Menlo Company distributes a single product. The company's sales and expenses for last month follow: Sales Variable expenses Contribution margin Fixed expenses Net operating income Total $ 624,000 436,800 187,200 146,400 $ 40,800 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 to be sold each month to attain a target profit of $61,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If the company can sell more units thereby increasing sales by $64,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? Req 1 Complete this question by entering your answers in the tabs below. Req 2 Per Unit $ 40 28 $ 12 Req 3A Req 3B 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 units Req 4 < Req 1 Req 5 Req 2 >

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 4PB: West Island distributes a single product. The companys sales and expenses for the month of June are...

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Smithen Company, a wholesale distributor, has been operating for only a few months. The company sells three products-sinks, mirrors, and vanities. Budgeted sales by product and in total for the coming month are shown below based on planned unit sales as follows: Sinks Mirrors Vanities Total Units 1,000 500 500 2,000 Percentage of total sales Sales Variable expenses Contribution margin Contribution margin per unit Fixed expenses Operating income Break-even point in unit sales: Percentage sex 25% 25% 100% Break-even point in sales dollars: Total Fixed expenses. Weighted-average CM per unit Sinks 48% Product Mirrors 20% $264,000 100.00% $110,000 100.00% $176,000 100.00% $550,000 100.00% 80,000 30.30% 72,000 65.45% 82,000 46.59% 219,300 39.87% 53.41% 60.13% $184,000 $ 94,000 330,700 69.70% 38,000 34.55% S 76.00 $ 184.00 $ 188.00 Fixed expenses Overall CM ratio $293,300 $158.00 Vanities 32% $293,300 0.60 1,856.33 units Total 100% 293,300 $ 37,400 = $487,798.61 *($184.00 0.50) + ($76.00 x…
A U Ltd manufactures and sells a single product, the company's sales and expenses for themonth of January 2021 were as follows:Total (Kshs)Value per unit (Kshs)Sales1.200.0080.00Less: Variable expenses840.0056.00Contribution360.0024.00Less: Fixed expenses300.00Net income60.00Required:What is the monthly breakeven point in units and in shillings?What is the total contribution margin at breakeven point?How many units would be sold each month to carn a minimum target net income ofkshs. 36.000?(iv)Using the original data, compute a company's margin of safety in both shilling and in percentage termsWhat is the contribution margin ratio, if the monthly sales increase by Kshs 16,000?
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Whirly Corporation's contribution format income statement for the most recent month is shown below: Sales (7,600 unita) Variable expenses Total $ 243,200 136, 800 Per Unit $32.00 18.00 Contribution nargin 106,400 $ 14.00 ried expenses 55,000 5 51,400 et operating Lncone Required: (Consider each case independently): 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 6,600 units? 1. Revined net operating income 2. Revised net operating income 3. Revised net operating income
Menlo Company distributes a single product. The company’s sales and expenses for last month follow: 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. How many units would have to be sold each month to attain a target profit of $90,000? Verify your answer by preparing a contribution format income statement at the target sales level.4. Refer to the original data. Compute the company’s margin of safety in both dollar and percentage terms.5. What is the company’s CM ratio? If sales increase by $50,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase?
The following information pertain to questions 10 through 13. Hoopie Company sells a single product. The company’s sales and expenses for the recent month follow:Total Per unitSales P600,000 P40Less: Variable expenses 420,000_ 28_Contribution margin 180,000 P12Less: Fixed expenses 150,00__Net operating income P30,00010. What is the monthly break-even point in units sold?a. 12, 000 units b. 12,500 units c. 15,200 units d. 11,000 units
Menlo Company distributes a single product. The company's sales and expenses for last month follow: Total Per Unit $ 640,e00 Sales variable expenses $ 40 448, e00 28 Contribution margin 192,e00 $ 12 Fixed expenses 154,800 Net operating income 37, 200 Requlred: 1. What Is the monthly break-even polnt In unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3. How many units would have to be sold each month to attaln a target profit of $61,200? 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What Is the company's CM ratlo? If the company can sell more units thereby Increasing sales by $65,000 per month and there Is no change in fixed expenses, by how much would you expect monthly net operating Income to Increase? Complete this question by entering your answers in the tabs below. Req 2 Reg 3 Req 1 Req 4 Req 5 What is the monthly break-even point in…
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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 to be sold each month to attain a target profit of $32,400? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level. 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company’s CM ratio? If the company can sell more units thereby increasing sales by $61,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase?
Menlo Company manufactures and sells a single product. The company’s revenue andexpenses for the last quarter follow:Total Per UnitRevenue £ 450,000 £ 30Less variable cost 180,000 12Contribution margin 270,000 18Less fixed cost 216,000Profit £ 54,000Required(a) What is the quarterly break-even point in units sold and in revenue? (b) Without resorting to computations, what is the total contribution margin at thebreak-even point? (c) How many units would have to be sold each quarter to earn a target profit of£90,000? Use the unit contribution method. Verify your answer by preparing acontribution statement of profit or loss at the target level of revenue. A,B,C - has been answered - https://www.bartleby.com/questions-and-answers/menlo-company-manufactures-and-sells-a-single-product.-the-companys-revenue-and-expenses-for-the-las/6745038f-6bd1-4eb7-9f65-ce799a62eeb2 I need : (d) Refer to the original data. Compute the company’s margin of safety in both poundand percentage terms. (e) What…
Wesley Company manufactures and sells a single product. The company's income statement at sales level of 25,500 units for last quarter follows: Sales Less: Variable expenses Contribution margin Less: Fixed expenses Net operating income Total $1,020,000 714,000 106,000 249,084 56,916 Required: 1. What is the monthly break-even point in units sold and in sales dollars? (Round your Intermediate calculations and final answers to the nearest whole number.) Break-even point in units sold Break-even point in sales dollars Break even Point
Whirly Corporation's contribution format income statement for the most recent month is shown below: Per Unit $31.00 19.00 $ 12.00 Sales (8,900 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case independently): Total $ 275,900 169,100 106,800 54,200 $ 52,600 1. What would be the revised net operating income per month if the sales volume increases by 100 units? 2. What would be the revised net operating income per month if the sales volume decreases by 100 units? 3. What would be the revised net operating income per month if the sales volume is 7,900 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income