User Account

All Pages

What is the company new break-even point in unit sales

Assignment Help Managerial Accounting
Reference no: EM132986827

Lindon Company is the exclusive distributor for an automotive product that sells for $20.00 per unit and has a CM ratio of 30%. The company's fixed expenses are $93,000 per year. The company plans to sell 16,700 units this year.

Required:

Problem 1. What are the variable expenses per unit? (Round your "per unit" answer to 2 decimal places.)

Problem 2. What is the break-even point in unit sales and in dollar sales?

Problem 3. What amount of unit sales and dollar sales is required to attain a target profit of $33,000 per year?

Problem 4. Assume that by using a more efficient shipper, the company is able to reduce its variable expenses by $2.00 per unit. What is the company's new break-even point in unit sales and in dollar sales? What dollar sales is required to attain a target profit of $33,000?

Reference no: EM132986827

Questions Cloud

Electronic surveillance is pervasive : Electronic surveillance is pervasive. New technologies or applications of existing and technologies are used for industrial, consumer and security applications
Prepare the journal entry to record the recovery of customer : Prepare the journal entry to record the recovery of the customer's account. Norwood Ltd analysed its accounts receivable balances at 31 December
What will be the effect on net income : Sheffield has sufficient unused capacity to produce the 2000 scales. If the special order is accepted, what will be the effect on net income
Calculate the expected return of the new project : The company's board of directors has determined that the project requires a risk premium of 18% per annum. Calculate the expected return of the new project
What is the company new break-even point in unit sales : What is the company's new break-even point in unit sales and in dollar sales? What dollar sales is required to attain a target profit of $33,000?
Develop strategies to improve employee performance : Describe tasks and performance indicators that contribute to the overall employee performance on the job and How will you identify an employee's strengths
What does the the fixed overhead cost variance measure : What does the the fixed overhead cost variance measure and tell us about a company? What does a favorable FOH mean? and what about an unfavorable FOH?
Network standards are essential in network communications : Computer networking has made some significant changes in all our lives. Network standards are essential in network communications.
Compute the break- even point for a multi-product company : Compute the break- even point for a multi-product company and explain the effects of shifts in the sales mix on contribution margin and the break-even point.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd