User Account

All Pages

Compute the contribution margin ratio

Assignment Help Finance Basics
Reference no: EM132627485

The following information relates to the only product sold by Mastrolia Manufacturing.

Sales price per unit$45

Variable cost per unit 27

Fixed costs per year 237,000

a. Compute the contribution margin ratio and the dollar sales volume required to break even.

b. Assuming that the company sells 20,000 units during the current year, compute the margin of safety (in dollars).

a. Contribution margain ratio ___________%

Break even sales dollar ____________

b. Margin of safety (in dollar) ____________

Reference no: EM132627485

Questions Cloud

Budgetary variance model : The service unit, or output, for this department is the number of procedures performed. A static budget was prepared at the beginning of the year.
Firm progress through the bankruptcy process : Explain how these structures can impact a firm's progress through the bankruptcy process.
What is Landry capital balance after Neumark admittance : On August 31, their capital balances were: Elkins, $132000 and Landry, $128000. What is Landry's capital balance after Neumark's admittance
Find the after-tax return to a corporation : Find the after-tax return to a corporation that buys a share of preferred stock at $45, sells it at year-end at $45, and receives
Compute the contribution margin ratio : The following information relates to the only product sold by Mastrolia Manufacturing. Sales price per unit$45
Determine and calculate the level of sales : Calculate the level of sales. Current liabilities $200,000. Inventory turnover 6 times. Quick ratio 1.4. Current ratio 1.5. Gross Profit Margin .25
Make the corresponding accounting record : Question - Computer equipment is acquired in cash for an amount of $12,400 plus 16% IVA. Make the corresponding accounting record
National guidelines regarding human subjects research : Read Protection of Human Subjects published by the U.S. Department of Health and Human Services.
How do calculate the cost of preferred stock : What is the firm's expected, or required, return on equity using a dividend discount model approach? If dividend was expected to grow at a 12 % rate forever

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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