How many units of each product whitt must sell

Assignment Help Cost Accounting
Reference no: EM13325982

Whitt company manufactures a line of electric garden tools that are sold on general hardware stores. The company controller has just received a sales forecast for the coming year for three product lines. (weeders, hedge clippers, and leaf blowers. Whitt has experienced considerable variations in sales volumes and variable costs over the past two years and the controller believes the forecast should be carefully evaluated from a cost volume profit viewpoint. The preliminary budget info for 2012 is presented below.

                                                                                                Weeders             Clippers                Blowers

 

Unit sales                                                                            50,000                   50,000                   100,000

 

Unit selling price                                                               28.00                     36.00                     48.00

 

Variable manufacturing cost per unit                      13.00                     12.00                     25.00

 

Variable selling cost per unit                                       5.00                        4.00                        6.00

For 2012 Whitt's fixed factory overhead is budgeted at $2 million, and the companys fixed selling and administrative expanses are forecasted to be $500,000. Whitt has a tax rate of 40 percent.

Assuming that the sales mix remains as budgeted determine how many units of each product Whitt must sell in order to breakeven in 2012?

Reference no: EM13325982

Questions Cloud

Auctioned in competitive bidding under rules that are very : U.S. Treasury securities are auctioned in competitive bidding under rules that are very similar to a Vickrey auction. What is the advantage to the U.S. Treasury of using this type of auction?
The probability that pete will catch fish on a particular : The probability that Pete will catch fish on a particular day when he goes fishing is .8. Peter is going fishing 3 days. The variance of the number of days Pete will catch fish is
Weighted-average unit contribution margin : Sales mix remains constant, the total number of units that Jamal must sell to break even and number of units of Plain that Jamal must sell to break even
How to calculate the ph during the titration c6h5cooh : Calculate the pH during the titration of 20.00 mL of 0.1000 M C6H5COOH(aq) with 0.1000 M NaOH(aq) after 19.54 mL of the base have been added. Ka of benzoic acid = 6.5 x 10-5.
How many units of each product whitt must sell : Determine how many units of each product Whitt must sell in order to breakeven in 2012 and companys fixed selling and administrative expanses are forecasted to be $500,000. Whitt has a tax rate of 40 percent.
State the electron configuration of the elements : Without referring to a periodic table, write the electron configuration of the elements with the following atomic numbers Z=9, Z=20, Z=26,Z=33
What are the equilibrium real gdp values : Suppose a government is established in a country where none previously existed. The government spends 110, financed by borrowing, to provide public services. If autonomous consumption plus investment is 190 and the marginal propensity to consume MPC ..
Problem on traditional costing procedures : Overhead cost allocated to Beta by using traditional costing procedures would be and overhead cost allocated to Beta by using activity-based costing procedures
How to calculate the ph during the titration of ammonia nh3 : Calculate the pH during the titration of 20.00 mL of 0.1000 M ammonia NH3(aq), with 0.1000 M HCl after 20.30 mL of the acid have been added. Kb of ammonia = 1.8 x 10-5.

Reviews

Write a Review

Cost Accounting Questions & Answers

  Cost accounting assignment

Evaluate Method of measuring costs associated with production, budgeting process, normal job-order costing system , master budget, cycle time.

  Prepare the journal entries

Prepare the journal entries to record the bond issue and interest expense.

  Advise as to the liability of all the parties

Write a report on given case study and Advise as to the liability of ALL the parties both under common law and the Corporations Law.

  Prepare revenues budget

Prepare Revenues budget and Production budget in units

  Effect of exchange rate changes on cash and cash

Effect of exchange rate changes on cash and cash

  Corporate governance

You are to reflect on how this case of China Sky relates to what the arguments for and against allowing audit firm partners and/or employees to join audit committees.

  Cost-benefit analysis

A cost-benefit analysis of electronic medical records in primary care

  Non-annual interest rates and annuities

Theory of Interest- Non-annual interest rates and annuities

  Job costing in service organizations

How is job costing in service organizations different from job costing in manufacturing environments?

  Accounting for bad debt expense

Accounting for bad debt expense

  Accounting and partnership problems

Accounting and Partnership problems

  Development of relevant cash flows

Development of relevant cash flows - Cost estimating and financial analysis

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