ts3Assume the following (1) sales-$200,000, (2) unit sales -10,000, (3) the contribution margin ratio 25%, and (4) net operating income - $10,000. Giventhese four assumptions, which of the following is true?00:56:31ellookMultiple ChoiceThe total fixed expenses-$40,000The total variable expenses- $50.000The total contribution margin- $150.000SavedThe break even point is 9.000 unitsAumenta lo spazio per continuare a usare CloHelp Save & ExitSubmit

Contribution margin ratio is the ratio which shows the percentage of contribution margin in relation…

Answered: Assume the following (1)…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Assume the following (1) contribution margin = $150,000 (2) net operating income = $15,000, and (3) sales increase by 6%. Given these three assumptions, net operating income will increase by: Multiple Choice 60%. 1%. 6%. 25%.
If the contribution margin ratio is 55%, target operating income is $30,000, and the sales revenue needed to achieve the target operating income is $100,000, what are total fixed expenses? O A. $55,000 О В. $25,000 о с. $85,000 O D. $16,500
Q1- You have the following data for the four products (A,B,C,D): PRODUCT VARIABLE FIXED TOTAL CONTRIBUTION SALES IN NET COST E COST COST PROFIT MARGIN RATIO 30% DOLLAR 1500 300 M 700 K 1000 P. 1200 500 L. 800 1200 R. T. 300 N 200 S. 2000 D Required: Find the unknown values?.
Q3. If sales are $500,000, variable cost are $200,000, and fixed costs are $240,000, what is the contribution margin ratio? Answer: ______________________________________________________________________ Explain your answer: ______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________
Assume the following (1) selling price per unit-$25, (2) variable expense per unit = $13, (3) unit sales=2,580, and (4) total fixed expenses = $25,000. Given these four assumptions, net operating income must be: Multiple Choice $8,540. O $39,500. O $27,580 $5.960.
1. The following data pertains to activity and utility cost for two recent periods:Activity level (units) 8,000 5,000Utility cost $8,000 $6,500Utility cost is a mixed cost with both fixed and variable components. Using the high-lowmethod, the cost formula for utility cost is:A. Y = $1.00 XB. Y = $1.25 XC. Y = $4,000 + $0.50 XD. Y = $1,500 + $1.25 X
Assume the following (1) variable expenses = $302,000, (2) unit sales = 10,000, (3) the contribution margin ratio = 20%, and (4) net operating income = $10,000. Given these four assumptions, which of the following is true? Multiple Choice O O The variable expense ratio is 400% The total sales $377,500 The total contribution margin= $241,600 The total fixed expenses $60,400 =
Compute for what is being asked1. Unit selling price P800 unit variable cost P350 annual sales volume, 620 units, fixed costs and expenses P200,000 per year. Compute the following.a. Contribution margin per unitb. Contribution margin percentagec. BEP sales volume (units)d. BEP peso salee. Operating income (BIT)using the break even salef. Operating income (EBIT) using the annual sales volume
Consider the following Income Statement. Assets were $500,000. What is the ROA? Sales Variable expenses 6,000,000 Contribution margin 40% Fixed expenses:Traceable and controllable Segment performance margin 3,400,000 Fixed expenses:Traceable NOT controllable 11% Segment margin Fixed expenses: Common 3% Net income Group of answer choices 16 20 4 None of the other answers are correct 3.2
1. The following CVP income statements are available for ABC Company and XYZ Company. Sales Variable costs Contribution margin Fixed costs Operating income ABC Company CVP I/S for 2020 $500,000 300,000 200,000 180,000 $ 20,000 XYZ Company CVP I/S for 2020 $500,000 180,000 320,000 300,000 $ 20,000 med m (a) Compute the break-even point in dollars and the margin of safety ratio for each w ww w w w w h m w m ww m company. (b) Compute the degree of operating leverage for each company. (c) Assuming that sales revenue decreases by 20%, each a CVP income statement for w w w w ww w www w w m wm company. (d) Assuming that sales revenue increases by 20%, calculate the operating incomes of the two companies without w w w w ww med m www S WInoul preparing income statement. (Use DOL) nea ww w
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
If the contribution margin ratio for France Company is 32%, sales are $488,000, and fixed costs are $110,000, the operating income is Oa. S110,000 Ob. $46,160 Oc. $36,928 Od. S156,160 Previous Submit Te Reflector-3.2.1.dmg

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