Anna Inc. sells two products as follows: Product A Product B 4,750 $450 $270 3,800 Units...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Anna Inc. sells two products as follows: Product A Product B 4,750 $450 $270 3,800 Units sold Selling price per unit $300 Variable costs per unit $120 The company has the following fixed costs: Product A, $613,000, Product B, $1,023,000, and common fixed costs of $372,800. Using the above information answer the following questions. What is the package contribution margin? What is the break-even in packages? How many units of Product A are required to break-even? How many units of Product B are required to break-even? Anna Inc. sells two products as follows: Product A Product B 4,750 $450 $270 3,800 Units sold Selling price per unit $300 Variable costs per unit $120 The company has the following fixed costs: Product A, $613,000, Product B, $1,023,000, and common fixed costs of $372,800. Using the above information answer the following questions. What is the package contribution margin? What is the break-even in packages? How many units of Product A are required to break-even? How many units of Product B are required to break-even?
Expert Answer:
Answer rating: 100% (QA)
To calculate the package contribution margin we need to determine the total revenue and total variable costs for both products combined Total revenue Product A revenue Units sold Selling price per uni... View the full answer
Related Book For
Cost Management A Strategic Emphasis
ISBN: 978-0077733773
7th edition
Authors: Edward Blocher, David Stout, Paul Juras, Gary Cokins
Posted Date:
Students also viewed these accounting questions
-
Study the information given below and answer the following questions: (25 Marks) 1.1 Calculate the Payback Period of both machines (answers expressed in years, months and days). (5 marks) 1.2 Which...
-
The following information is available for Dunworth Canoes, a company that builds inexpensive aluminum canoes: In its first year of operation, the company produced 18,000 units but was able to sell...
-
1. The quantity of organically bound nitrogen (org-N) released by acid digestion is referred to as Kjeldahl nitrogen. One method used to determine the Kjeldahl nitrogen content involves a back...
-
When my niece Michelle told me she had learned to read, she was bursting with pride. How might reflecting on this accomplishment affect how Michelle thinks about herself?
-
Determine the y coordinate of the centroid of the body shown.
-
Which is an advantage of companies relative to partnerships and sole proprietorships from the perspective of owners? (a) Separation of ownership and control. (b) Harder to transfer ownership. (c)...
-
What is meant by the term fact pleading?
-
The unadjusted trial balance for GLP Corporation appears on the next page. End-of-period analysis revealed the following: a. The market value of equipment had decreased by 30 percent of its original...
-
A six speed gearbox is required to provide output speeds in the range of 125 to 400 rpm, with a step ratio of 1.25 and transmit a power of 5kW at 710 rpm. Draw the speed diagram and kinematic...
-
Melodic Musical Sales, Inc. is located at 5500 Fourth Avenue, City, ST 98765. The corporation uses the calendar year and accrual basis for both book and tax purposes. It is engaged in the sale of...
-
Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March. Submit Date March 1 March 5 March 9 March 18 March 25 March 29...
-
You have work experience in the human resource management field. You want to further understand what factors make a project successful. You are particularly interested in employee selection and...
-
How do mentorship frameworks accommodate the nuanced interplay of individual aspirations, cultural contexts, and socio-economic landscapes, facilitating the cultivation of diverse talent pools with...
-
Your parents set up a trust fund for you 10 years ago that is now worth $42,871.78 If the fund earned 8% per year, how much did your parents invest? PV? What is the relationship between present value...
-
(a) If you want a high-power output when using energy, should you use the energy over a short period of time or over a long period of time? (b) If you want a low-power output when using energy,...
-
9. What is Paleomagnetism? Explain what information is preserved and how
-
The Music carries a large inventory of guitars and other musical instruments. The store uses a perpetual inventory system Company records indicate the following for a particular line of guitars Date...
-
Consider model (9.18). What is the effect on the model parameter estimates, their standard errors, and the goodness-of-fit statistics when (a) The times at risk are doubled, but the numbers of deaths...
-
Explain activity-based process costing, and give an example of a company that uses it.
-
The IMA definition of management accounting states that: a. Management accounting is the process of gathering, reporting, and analyzing information for management decision making. b. Management...
-
Full Frame is a family-owned company that operates five custom framing stores. Each store offers a variety of services: matting and mounting prints; framing photos, paintings, posters, and prints;...
-
What are generally accepted accounting principles (GAAP)?
-
Describe the concepts, principles and constraints underlying financial statements.
-
Accounting is the process of: (a) recognising, measuring, recording and communicating. (b) identifying, measuring, recording and communicating. (c) identifying, recording, classifying and...
Study smarter with the SolutionInn App