209.
(a)
|
If Swannanoa Company's budgeted sales are $1,000,000, fixed costs are $350,000, and variable costs are $600,000, what is the budgeted contribution margin ratio?
|
(b)
|
If the contribution margin ratio is 30% for Swannanoa Company, sales are $900,000, and fixed costs are $200,000, what is the operating profit?
|
|
|
210. For the current year ending April 30, Hal Company expects fixed costs of $60,000, a unit variable cost of $70, and a unit selling price of $105.
(a)
|
Compute the anticipated break-even sales (units).
|
(b)
|
Compute the sales (units) required to realize an operating profit of $8,000.
|
|
|
211. For the current year ending January 31, Harp Company expects fixed costs of $188,500 and a unit variable cost of $51.50. For the coming year, a new wage contract will increase the unit variable cost to $55.50. The selling price of $70 per unit is expected to remain the same.
(a)
|
Compute the break-even sales (units) for the current year.
|
(b)
|
Compute the anticipated break-even sales (units) for the coming year, assuming the new wage contract is signed.
|
|
|
212. Currently, the unit selling price is $50, the variable cost, $34, and the total fixed costs, $106,000. A proposal is being evaluated to increase the selling price to $54.
(a)
|
Compute the current break-even sales (units).
|
(b)
|
Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.
|
|
|
213. For the coming year, River Company estimates fixed costs at $109,000, the unit variable cost at $21, and the unit selling price at $85. Determine (a) the break-even point in units of sales, (b) the unit sales required to realize operating income of $150,000, and (c) the probable operating income if sales total $500,000.