Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Part A
The contribution margin income statement of Nice Cup Company for 31 December 2011 follows:
Nice Cup Company
Contribution Margin Income Statement
Year Ended December 31, 2011
RM
Sales revenue
127,000
Variable costs:
Cost of goods sold
32,400
Marketing costs
17,300
General and administrative costs
10,625
60,325
Contribution margin
66,675
Fixed costs:
56,700
6,300
63,000
Operating income
3,675
Nice Cup Company sells two dozen of chocolate cupcake for every dozen of blueberry cupcake. A dozen chocolate cup cake plain donuts sells for RM6, with total variable cost of RM2 per dozen. A dozen blueberry cupcake sells for RM8, with total variable cost of RM5.50 per dozen.
REQUIRED
a) Determine Nice Cup Company's monthly breakeven point in dozens of chocolate cupcake and blueberry flavor cupcake. Prove your answer by preparing a summary contribution margin income statement at the breakeven level of sales.
b) Compute Nice Cup Company's margin of safety in value for December 2011.
c) If Nice Company can increase monthly sales volume by 10%, what will operating income be? (The sales mix remains unchanged.)
Part B
a) Explain the term sales mix in your own words. How does sales mix affect the contribution margin?
b) Explain how to calculate a weighted average contribution margin per unit.
Blue sky Company's 12-31-13 balance sheet reports assets of $5,000,000 and liabilities of $2,000,000. All of the book value's are the same as the market values except for land, whi
The intestate leaves no spouse but children The net estate devolves upon the surviving children and is divided equally between them. If any child has not, at the time of intest
The purchase of a car needs a $23,410 loan to be repaid in monthly installments for 4years at 12% annual real interest rate. If annual inflation rate is 4%, find the extra amount t
Question 1 Describe and differentiate the four (4) different Financial Statements. HINT : use examples of actual companies or transactions to illustrate your answer. Give
Example of outbound logistics in bank
You have been hired as consultants to advise Mr D of DN Company limited on the performance of his company which has been in business for two years. He has provided you with a subs
Q. Average cost of capital? Even though the director suggests that equity finance is appropriate given the amount of finance needed the amount alone doesn't rule out other fina
what are types of accounting concepts
Q. A prior period adjustment that corrects income of a prior period requires that an entry be made to a. an income statement account. b. a current year revenue or expense account.
Illustration of consolidated cashflow statements The voice of the Nation Limited is a Nairobi based media company. Its Consolidated Income Statement for the year ended 30 April
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!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd