help with homework, Basic Statistics

Assignment Help:
1. Penny Pincher, Inc. had a contribution margin of $33,000 on sales of $50,000 and had fixed costs of $18,000. Calculate its break-even point in sales dollars.
2. Krueger Company has a variable cost percentage of 32% on a product that sells for $28 per unit. Fixed costs are $30,000. Krueger wants to know how many units must be sold (a) to break even and (b) to earn a profit of $15,000. Ignore income taxes.
3. Kibble Company had the following functional income statement for the month of July 2011:
Kibble Company
Functional Income Statement
For the Month Ending July 31, 2011
Sales ($40 x 25,000) $1,000,000
Cost of goods sold:
Direct materials ($8 x 25,000) $200,000
Direct labor ($6 x 25,000) 150,000
Variable factory overhead ($5.00 x 25,000) 125,000
Fixed factory overhead 180,000 - 655,000
Gross profit $ 345,000
Selling and administrative expenses:
Variable ($1.00 x 25,000) $25,000
Fixed 60,000 - 85,000
Net income
$ 260,000

Calculate Kibble Company''s break-even sales in units



4. Crazy Crafters is a manufacturer of furniture items. The company is considering the possibility of offering a new coffee table that would sell for $415 each. Cost to manufacture these coffee tables includes $135 in materials and $80 in direct labor for each coffee table. Variable marketing and selling costs would be $25 each. In order to manufacture these coffee tables, the company would need to incur $525,000 in fixed costs for new equipment.
a. Compute the break-even point of the coffee tables in units sold.
b. What would be the total revenue at the break-even point?
c. How many units would Crazy Crafters need to sell to earn a profit of $157,500?
d. If fixed costs in fact are $595,000 rather than $525,000, how many units would need to be sold in order to earn $157,500?
5. Rosebud’s income statement is as follows:
Sales (20,000 units) $100,000
Less variable costs - 60,000
Contribution margin $40,000
Less fixed costs - 24,000
Net income $12,000
If sales increase by $15,000, by how much will net income increase?
6. For the following case, compute the missing values indicated by the letters.
Case A
Unit sales 800
Sales revenue $40,000
Variable cost per unit $35
Total Contribution Margin A
Fixed costs $2,500
Operating income B
Unit contribution margin C
Break-even point (units) D

Related Discussions:- help with homework

Statistics for management, characteristics of statistics and any two applic...

characteristics of statistics and any two application of statistics

material costing and control, summarize chapter 2 in three pages, material...

summarize chapter 2 in three pages, material costing and control

What after the implementation of ifrs, What after the implementation of IFR...

What after the implementation of IFRS?  Manager 1: IFRS is only the first step towards the change that the SEC is trying to bring in. Firstly it is going to take a couple of year

Central tendency, explain the graphical method of measure of central tenden...

explain the graphical method of measure of central tendency.

Automated clearing house (ach) , Automated clearing house (ach) A across ...

Automated clearing house (ach) A across the country settlement and selection program that provides for automated submission and arrangement of resources. Although the phrase Elec

What is Appropriation , What is Appropriation A legal endorsement for an ...

What is Appropriation A legal endorsement for an organization to make expenses for particular requirements from particular options available or approximated to be available durin

Identification of critical data elements, Check numbers for No Neighboring ...

Check numbers for No Neighboring States with Video Gaming, 2% inflation, 4 Average Bets Numbers for 2018 Average Return -0.082 Net Income -$2,052,859 End of Year Cash $5,0

Probality, conceptof probality, theoretical, distribution, normal,binomial ...

conceptof probality, theoretical, distribution, normal,binomial and poisson

Write Your Message!

Captcha
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