Compute the break-even point in sales dollars

Assignment Help Accounting Basics
Reference no: EM131797035

Company X has budgeted annual fixed costs of $240,000 and an estimated variable cost ratio of 60%.

Required:

(a) Compute the break-even point in sales dollars.

(b) Compute the margin of safety if the company expects to earn revenues of $800,000.

(c) Compute the expected operating profit at the $800,000 revenue.

Reference no: EM131797035

Questions Cloud

Prepare a cash budget for september : a. Prepare a cash budget for September, October, November, and December b. Are the four monthly budgets that are presented prepared as static or flexible budget
Find the percentage of boys who are studying : Find the expected number of boys having educated parents who would study, if the variables are independent.
What the importance of provide feedback on customer service : What is the importance of providing feedback on customer service? What should this include? What are the requirements for communicating delays in service
Let discuss how you see the future of accounting : Let's discuss how you see the future of accounting. what changes should be made, why and will they actually be made ever? As we know accounting rules are slow
Compute the break-even point in sales dollars : Company X has budgeted annual fixed costs of $240,000 and an estimated variable cost ratio of 60%.
Prepare a cvp income statement using the contribution margin : Prepare a CVP income statement using the contribution margin format in 2016. How many students are needed in order to achieve breakeven.
Compute the effect on income if martin : (a) Compute the effect on income if Martin accepts the special order.
Determine playing basketball makes one grow taller or not : The table shows a summary of the outcomes of a study that a researcher carried out to determine whether playing basketball makes one grow taller or not.
Data concerning that product appear below : Longiotti Corporation produces and sells a single product. Data concerning that product appear below.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd