Pierce Phones is considering the introduction of a new model of headphone whose selling price is...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Pierce Phones is considering the introduction of a new model of headphone whose selling price is $18 per unit and whose variable expense is $15 per unit. The company's monthly fixed expense is $4,200. Required: 1. Calculate the company's break-even point in unit sales. 2. Calculate the company's break-even point in dollar sales. (Do not round intermediate calculations.) 3. If the company's fixed expenses increase by $600, what would become the new break-even point in unit sales? In dollar sales? (Do not round intermediate calculations.) 1. Break-even point in unit sales baskets 2. Break-even point in dollar sales 3. Break-even point in unit sales baskets Break-even point in dollar sales Pierce Phones is considering the introduction of a new model of headphone whose selling price is $18 per unit and whose variable expense is $15 per unit. The company's monthly fixed expense is $4,200. Required: 1. Calculate the company's break-even point in unit sales. 2. Calculate the company's break-even point in dollar sales. (Do not round intermediate calculations.) 3. If the company's fixed expenses increase by $600, what would become the new break-even point in unit sales? In dollar sales? (Do not round intermediate calculations.) 1. Break-even point in unit sales baskets 2. Break-even point in dollar sales 3. Break-even point in unit sales baskets Break-even point in dollar sales
Expert Answer:
Answer rating: 100% (QA)
Selling price per unit 18 variable cost per unit 15 Fixed expenses 4200 1 Contribution margi... View the full answer
Related Book For
Fundamentals of Cost Accounting
ISBN: 978-1259565403
5th edition
Authors: William Lanen, Shannon Anderson, Michael Maher
Posted Date:
Students also viewed these accounting questions
-
Derby Phones is considering the introduction of a new model of headphones with the following price and cost characteristics: Sales price. . . . . . . . . . . . $ 270 per unit Variable costs. . . . ....
-
Derby Phones is considering the introduction of a new model of headphones with the following price and cost characteristics Sales price S per 24 unit per Variable casts 9. unit per month Fixed costs...
-
Derby Phones is considering the introduction of a new model of headphones with the following price and cost characteristics. Sales price$17per unit Variable costs 5per unit Fixed costs 29,000per...
-
A hollow-fiber membrane device is operated to concentrate a bacterial suspension. The flow rate of cell suspension into the fibers is 350 kg/min. The inlet cell suspension is comprised of 1.0 wt%...
-
Solve problem 4 with pivot tables and create corresponding pivot charts. Express the counts as percentage of row. What do these percentages indicate about this particular data set? Then repeat,...
-
What do you think are the concerns for the company regarding Toms facial hair? Should they care about his appearance?
-
Consider the gasoline mileage data in Table B.3. Split the data into estimation and prediction sets. a. Evaluate the statistical properties of these data sets. b. Fit a model involving \(x_{1}\) and...
-
The ages of 20 dogs in a pet shelter are shown. Construct a frequency distribution using 7 classes. 3 6. 4 4 9. 4 3 4 9.
-
RH (a) Alternative 1 (b) Alternative 2 Figure 1. Schematic layout of alternative engine construction. Table 1 Specifications of the Whoop-de-do 5000 engine. Engine Specifications Capacity Bore Stroke...
-
Joe has $16 to spend on Twinkies and Ho-Hos. Twinkies have a price of $1 per pack, and Ho-Hos have a price of $2 per pack. Use the information in these graphs to determine the number of Twinkies and...
-
A machine purchased for $1,000,000 with a life of 10 years, generates annual revenues of $300,000 and operating expenses of $100,000. Assume that machine will be depreciated over 10 years using...
-
When is it appropriate to use e-mail to send goodwill messages?
-
Consider your worst, most embarrassing intercultural blunder and then imagine it amplified a thousand fold or millionfold for everyone to see. Social networking is instant and, once released, it cant...
-
Social media have taken the world by storm; therefore, its not surprising that social networks have formed around various interests and pursuits. At least two major social networks have united people...
-
Explain four ways that persuasion has changed in the digital age.
-
What are some strategies to effectively manage adverse news on social networking sites and blogs?
-
Ligo Dairy Farm sells milk for $2.50 per gallon. Ligo Dairy wants to investigate if it would be financially wise to further process their milk to make butter, which they could sell for $3.75 per...
-
When you weigh yourself on good old terra firma (solid ground), your weight is 142 lb. In an elevator your apparent weight is 121 lb. What are the direction and magnitude of the elevator's...
-
Place the number of the appropriate definition in the blank next to each concept. _________Period cost 1. Cost that varies with the volume of activity. _________Indirect cost 2. Sacrifice of...
-
A flexible budget is: a. Appropriate for control of factory overhead but not for control of direct materials and direct labor. b. Appropriate for control of direct materials and direct labor but not...
-
Incorporate taxes, multiple products, and alternative cost structures into the CVP analysis. More complicated relations among costs, volumes, and profits can be analyzed. With income taxes, the...
-
Provide realistic examples of how a requirements document may be: a. ambiguous b. incorrect c. incomplete d. unverifiable
-
How can poor specifications lead to poor quality codeddo aspects of a poorly constructed specification necessarily lead to bad software?
-
Give examples of the component networks in a federated network for an automobile.
Study smarter with the SolutionInn App