What will be the break-even-point in sales dollars

Assignment Help Managerial Accounting
Reference no: EM132757723

Question - Assume that TALA management was provided by the following information regarding the production and sales of Bluetooth Keyboards for tablet computer: Cost Schedule Variable Cost Direct labor per keyboard $8.0 Direct materials $4.0 Variable overhead $3.0 Fixed costs Manufacturing $25,000 Selling 40,000 Administrative 70,000 Selling price per keyboard $25.0 Sales, 2020 (20,000 Keyboards) $500 000 Assume that management set the sales target for the year 2018 at level $550,000 (22000 keyboards). Amazon's management believes that to attain the sales target in 2018, the company must incur an additional selling expenses of $10,000 for advertising in 2018, with over cost remaining constant. What will be the break-even-point in sales dollars for 2018 if the company spends the additional $10,000?

Reference no: EM132757723

Questions Cloud

What is the level of safety stock : Spencer Industries annually buys 900,000 units of Part XY. The EOQ is 2,000 units. Spencer Industry's average usage equals 3,000 units/day.
What is John annualized holding period return : During this period the stock paid dividends of $5.42 per share. What is John's annualized holding period return (annual percentage rate)
For how much do the free assets have to be sold : For how much do the free assets have to be sold so that the creditors associated with Debt 2 will receive exactly $154,400
Explain how society or the dictionary : Explain how society, or the dictionary, defines the word you've selected, and then explain your unique or extended definition of the word.
What will be the break-even-point in sales dollars : Cost Schedule Variable Cost Direct labor per keyboard $8.0 Direct materials $4.0. What will be the break-even-point in sales dollars for 2018
What is the reorder point with no variability : Spencer Industries annually buys 900,000 units of Part XY. The EOQ is 2,000 units. Spencer Industry's average usage equals 3,000 units/day.
Calculate the internal rate of return : The company LMI Ld specialized in electronics. LMI is considering issuing $1 million of 5-year bonds at a price of $1,000, with a coupon rate of 5%.
Calculate present value after tax cash outflows with leasing : The firm is in the 40% tax bracket, and its after-tax cost of debt is currently 4.5%. Calculate present value after tax cash outflows with leasing
What is the total yearly cost to discharge the debt : Polina will discharge a debt of R200 000 six years from now while using the sinking fund method. The debt's interest is 15,6% per year, paid quarterly.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  During june, each worked an average hours at an average rate

The company employs 10 persons to work on the production of Fruta. During June, each worked an average of 160 hours at an average rate of $12.50 per hour.

  What could one assume for unfavourable materials quantity

Favourable materials price variance of $380 and an unfavourable materials quantity variance of $120. Based on these variances, what could one assume?

  What type of non-financial measure looks at the number

What type of non-financial measure looks at the number of employees able to undertake a range of tasks? Delivery on time. / Employee satisfaction

  Find which is true under absorption costing

Find Which is true under absorption costing? A portion of a finished goods inventory increase is due to the allocation of fixed manufacturing overhead to ending

  Perth corporation has two operating divisions

Perth Corporation has two operating divisions, a casino and a hotel. The two divisions meet the requirements for segment disclosures. Before transactions between the two divisions are considered, revenues and costs are as follows:

  Which concept corresponds to a student referred to math lab

Which concept corresponds to the following situation: a student was referred to the math lab after taking the two cut tests and the midterm exam.

  What does the simultaneous move game look like

What does the simultaneous move game look like and what is the equilibrium? Nestlé's has over one hundred production facilities that all purchase

  Analyze economic trends of the health care payment system

Analyze the economic trends of the health care payment system and assess the role of ethics and compliance in the health care finance environment.

  Why the cost assigned to each product remains the same

Now combine the setup and packing activities into one cost pool and repeat the assignment using the number of setups as the driver. Explain why the cost assigned to each product remains the same.

  Determine the cost equation for seminars

Based on the variable cost per seminar and fixed cost per month calculated in A and B above, determine the cost equation for seminars.

  How many doors should abbott produce during march

How much money should Abbott door include in its direct materials budget for the month of March? How many doors should Abbott produce during March

  Calculate plastic efficiency variance

Calculate Plastic efficiency variance (absolute value, round to whole number). Calculate Plastic price variance (absolute value, round to whole number)

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