How many units would they need to sell to break even

Assignment Help Managerial Accounting
Reference no: EM132967390

Question - Please solve the following question given the information

Company A: Product Selling Price = $40

Variable Costs = $10 per/unit

Fixed Costs = $12,000

To make a profit of $6,000, the number of units sold were 600 units and $24,000 dollars sales.

If the company could spend 4000 dollars on advertising, which results in increasing the selling price by $10, how many units would they need to sell to break even?

Reference no: EM132967390

Questions Cloud

Explain how the factors of production work together : Explain how the factors of production work together to make that product available.
Calculate the net cash flow that would appear in year : You are required to calculate the net cash flow (round to the nearest dollar and DO NOT include $ sign) that would appear in Year 0 of a Capital Budget.
Discussing the concept of risk modeling : Your task this week is to write a research paper discussing the concept of risk modeling. Please also evaluate the importance of risk models. Lastly, construct
Differences between related and unrelated diversification : What are the primary differences between related and unrelated diversification? Find and post an example of a firm that uses each type.
How many units would they need to sell to break even : If company could spend 4000 dollars on advertising, which results in increasing the selling price by $10, how many units would they need to sell to break even
Which the disadvantage of the irr method is that : Which the disadvantage of the IRR method is that? the IRR will always give the same project accept/reject decision as the NPV.
What is the sales revenue for the software division : Advent phone Systems uses both ROI and RI to evaluate its divisional managers. What is the sales revenue for the software division
What is the probability that an arrival : A university, installed a single telephone booth in the student affair office, to provide students with no mobile phone or unwilling to use their mobile phone,
Calculate project arr and comment : Calculate the project's ARR and comment on its likelihood of acceptance by management. Also estimate project cash flows and calculate its NPV and IRR

Reviews

Write a Review

Managerial Accounting Questions & Answers

  What is the total cost per equivalent unit

Outose Concept manufactures small tables, What is the total cost per equivalent unit using the weighted-average method of process costing?

  How to find the costs per equivalent unit for the month

How to determine the equivalent units for the month for material and conversion. Compute the costs per equivalent unit for the month for the first process.

  Cost accounting-managerial emphasis

USE SunRype and Welches which are provided for you as a Website Resource. Compare Sales and Net Income over the last 3 years. (Trend Analysis). Remember to compute trends in Dollars and Percentages.

  Compute the manufacturing overhead rate for the year

Compute the manufacturing overhead rate for the year. What is the amount of under- or overapplied overhead at December 31

  What the sales volume variance for vmoh is

Actual variable manufacturing OH = $290,000; Master Budget variable manufacturing OH = $256,000. The sales volume variance for VMOH is

  What will be the net present value

When considering the cost of the new machine, do not forget to consider the trade-in value received for the old machine and ignore taxes.

  Compute for the month of march the cost per equivalent

Use the information to determine for the month of March the cost per equivalent unit of direct material and the cost per equivalent unit of conversion

  Describe the various costing methods used in management

Describe the various costing methods used in management accounting. Outline their advantages and disadvantages. Provide real time examples

  0502230 Principles of Managerial Accounting Assignment

0502230 Principles of Managerial Accounting Assignment Help and Solution, Al Ain University - Assessment Writing Service - Challenges Facing Management

  Compute the selling price of product b for glover inc

Glover Inc. manufactures Product B, incurring variable costs of $15.00 per unit and fixed costs. Compute the markup percentage using the total cost concept.

  Prepare a report showing the spending variances for april

Prepare a report showing the spending variances for April. Explain what these variances mean.

  Find what would be the price per share

If there are two million shares of stock in the new corporation, what would be the price per share? What is the market value of the firm?

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