Determine the break-even point in terms of dollars

Assignment Help Financial Accounting

Reference no: EM1311294

Penury Company offers two products. At present, the following represents the usual results of a month's operations:

	Product K		Product L
	Amount	Per Unit	Amount	Per Unit	Combined Amount
Sales revenue	$120,000	$1.20	$80,000	$0.80	$200,000
Variable expenses	60,000	0.60	60,000	0.60	120,000
Contribution margin	$60,000	$0.60	$20,000	$0.20	80,000
Fixed expenses					50,000
Net operating income					$30,000

Find the break-even point in terms of dollars.

Reference no: EM1311294

Questions Cloud

Determine the break even- point in terms of dollars : Determine the Break even- point in terms of dollars - Under the new plan, find the break-even point in terms of dollars

Find variable expense per unit : Find Variable expense per unit, and total fixed expenses. Would you advise adopting this plan?

Operating characteristics of the system : Find out the operating characteristics for this system.

Finding out the equilibrium price and quantity : "If every employer hired its best qualified applicants for a job at every opportunity, the phenomenon of black poverty (as distinct from poverty) could be wiped out in ten years." Do you agree/disagree? Comment.

Determine the break-even point in terms of dollars : Penury Company offers two products. At present, the following represents the usual results of a month's operations and determine the break-even point in terms of dollars

Preparting chart using z-value : In addition, record the values for the UCL, center line, and LCL. Also, record any points that are out of control. Use a z-value of three.

Determine an investment and variable costing : How will what you learned in this problem help you determine an investment and variable costing Plant assets:

Own price elasticity and cross price elasticity : Let the market demand for rye bread be given by Q = 500 + I - 250P rye + 400P wheat , where Q is monthly demand in number of loaves, I is average monthly income in dollars

Prepare cash flows from operating and investing : Prepare cash flows from operating and investing and financing and purpose the 20X8 statement of cash flows, formatting operating activities by the indirect method

User Account

All Pages