Reference no: EM132088991
Question: Yoda owns and operates "The Force Company" a light sabre producing company. He is considering the introduction of a new custom light sabre that he estimates will generate demand for 8,000 light sabres. The sabres will sell for $100.00 each, with a unit variable cost of $40.00, and annual fixed costs of $600,000. Use Excel formulas for your solutions.
Required: 1. Determine the number of sabres to be sold to break-even.
2. Determine the number of sabres to be sold to earn an operating profit of $22,000.
3. What is the safety margin in units when the company makes an operating profit of $22,000?
4. If 8,600 sabres are sold, determine the operating income. If sales price was increased by 15 percent, variable cost per unit increased by 10 percent, and fixed cost increased by $6,000, determine the new break-even point. Please provide the answer in Excel Sheet or at least in a Table
|
Define the cumulative effect of the accounting change
: Yoder Corporation acquired machinery at a cost of $2, 100,000. Yoder adopted the sum-of-the-years'-digits method of depreciation for this machine and had been.
|
|
Provide the journal entry for the estimated warranty expense
: Yummy Co. sold $227,000 of equipment during May under a two-year warranty. The cost to repair defects under the warranty is estimated at 5.0%
|
|
What would sbc record as annual depreciation
: Young Company leased equipment to SBC Corporation under a lease agreement that qualifies as a direct financing lease. The cost of the asset is $127,000.
|
|
Prepare direct materials budget of the yogi
: Yogi expects to produce 2,000 units in January and 2, 155 units in February. The company budgets $65 per unit for direct materials.
|
|
Determine the number of sabres to be sold to earn
: Yoda owns and operates "The Force Company" a light sabre producing company. He is considering the introduction of a new custom light sabre that he estimates.
|
|
Identify the transaction-related audit objectives
: YourTeam.Com is an online retailer of college and professional sports team memorabilia, such as hats, shirts, pennants, and other sports logo products.
|
|
What price would product sell under each allocation system
: Zachary Company produces commercial gardening equipment. Since production is highly automated, the company allocates its overhead costs to product lines using.
|
|
Prepare a retained earnings statement for the year
: The Yum Brands Corporation began operations two years ago and was authorized to issue 500,000 shares of 6%, $100 par value preferred stock and 2,000,000 shares.
|
|
Critical reflection on why you felt the case to be good
: MBA642 - Project Initiation, Planning and Execution - Reflective Journal - critical reflection should draw on the resources and material covered
|