Compute the volume of sales in units

Assignment Help Accounting Basics
Reference no: EM133089145

Question - Cost Accounting and Control - Snider Company produces and sells two products: A and B in the ratio of 3A to 5B. Selling prices for A and B are, respectively, $1,200 and $240; respective variable costs are $480 and $160. The company's fixed costs are $1,800,000 per year.

Compute the volume of sales in units of each product needed to:

a. break even.

b. earn $800,000 of income before income taxes.

c. earn $800,000 of income after income taxes, assuming a 30 percent tax rate.

d. earn 12 percent on sales revenue in before-tax income.

e. earn 12 percent on sales revenue in after-tax income, assuming a 30 percent tax rate.

Reference no: EM133089145

Questions Cloud

How much interest expense would be recognized : Assuming this lease is correctly classified as an operating lease: What amount of interest expense how much interest expense would be recognized in 2019
Patient Protection and Affordable Care Act : To prepare for this discussion, you researched the manner in which the Patient Protection and Affordable Care Act
Calculate her beginning of the month payment : Marge purchased a new vehicle for $30,000. The residual value of the vehicle is $10,000. Calculate her beginning of the month payment
Employment law : Identify, summarize and critique a current event article relating to Employment Law (no more than 6 months old).
Compute the volume of sales in units : Selling prices for A and B are, respectively, $1,200 and $240; respective variable costs are $480 and $160. Compute the volume of sales in units
Corporate social responsibility and ethics : Consider the potential conflict between corporate social responsibility and ethics while maximizing share holder wealth.
Corporate social responsibility and ethics : Consider the potential conflict between corporate social responsibility and ethics while maximizing share holder wealth.
Conduct research into cultural characteristics : conduct research into the cultural characteristics that you believe should be important considerations in establishing a core compensation program
Business is poker game and we are all bluffing : Discuss why Goldman Sachs was a disciple of Albert Carr's theory of "business is a poker game and we are all bluffing."

Reviews

Write a Review

Accounting Basics Questions & Answers

  How does mark-to-market work in accounting

How does mark-to-market work in accounting and Why under the current accounting derivative rules can two parties to a bi-lateral contract both claim profits?

  What are some of the implications of allowing options

What are some of the implications of allowing the group to have two options in accounting for goodwill on consolidation

  Prepare the report for sam bordem

Prepare the report for Sam Bordem. In late 2017, Sam and Emily had a major disagreement on the direction of the company and they have not spoken since.

  Explain the purposes of the statement of cash flows

Explain the purposes of the statement of cash flows. Bryant, Inc., has experienced an unbroken string of nine years of growth in net income

  Compute the firm price-earning ratio

The company's share price is $12.33, and the company has 320,420 shares outstanding. Compute the firm's price-earning ratio up to two decimal places

  Describe the organization of a flat file database

Describe the organization of a flat file database.

  Determine the standard direct labor hours per oil change

Determine standard direct labor hours per oil change. If an oil change took 3.60 hours at the standard hourly rate, what was the direct labor quantity variance?

  Identify the sales promotion

Sales promotions can be found anywhere from newspapers to television. In this assignment, we are going to focus on sales promotions on the Internet or in print.

  What is McDonald contribution margin ratio

For a recent year, McDugal's company-owned restaurants had the following sales and expenses (in millions): What is McDonald contribution margin ratio

  Make Part RS4

Cool Components has offered to sell Total Refrigeration 10,000 units of Part RS4 for $18 per unit. Make Part RS4 because it would be $15,000 per year cheaper

  How do organisations balance these two considerations

ACC307 – Accounting Theory - What amount is short-term in nature and what is based on long-term firm or managerial performance

  Indirect method-cash flow from operations

Net income was $ 61,000 for the year. The accumulated depreciation balance increased by $14,000 over the year. There were no sales of fixed assets or changes in noncash current assets or liabilities. Under the indirect method, the cash flow from o..

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