Comprehensive Project 1 v2

Using Excel

Boyd Corporation is a manufacturer that uses job

order costing. On January 1, 2024, the company's

inventory balances were as follows:

Raw Materials Inventory: $63,000

Work-in-Process Inventor: $41.000

Finished Goods Inventory: $58,000

the current year, 2024, the company's

predetermined overhead rate per direct labor-hour

was based on a cost formula that estimated

$806,000 of total manufacturing overhead for an

estimated activity level of 62,000 direct labor-

hours.

16. Use the contribution margin approach to calculate margin of safety in dollars, as a percent and in units Reference the DATA cell(s) in your formula below. Format as a numberAlways refer to the original data Use the Excel ROUNDUP function to obtain whole units or dollars.

17. Use the contribution margin approach to calculate operating leverage. What is the estimated percent increase in net income if sales increase 10%? New Operating Income? Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data.

6 1 Comprehensive Project 1 V2 2. Using Excel 3 Boyd Corporation is a manufacturer that uses job-order costing. On January 1, 4 2024 the company's inventory balances were as follows: 5 Raw Materials Inventory $63,000 7 Work-in-Process Inventory $41,000 Finished Goods Inventory $58,000 9 the current year, 2024, the company's predetermined overhead rate per direct labor-hour was based on a cost formula that estimated $806,000 of total manufacturing overhead for an estimated activity level of 62,000 direct 10 labor-hours 0 0 DATA (refer to Requirement 8) Description Unit Sales for 2024 500 Sales Revenue $ 2,848,000 $ Variable Costs $ 2.290,000 $ Contribution Margin $ 558,000 $ Fixed Costs $ 325,000 Operating Income $ 233,000 Per Unit 5,696 4,580 1.116 Breakeven Target Profit $ $ 655,000 Requirement 15 Use the contribution margin approach to compute the change in net operating income if the sales increase by 5% and advertising spending is increased by $5,000 Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data. Use the Excel ROUNDUP function to obtain whole units or dollars New Operating Income change in Operating Income Requirement 16 Use the contribution margin approach to calculate margin of safety in dollars, as a percent and in units. Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data Use the Excel ROUNDUP function to obtain whole units or dollars Margin Safety $ Margin Safety % Margin Safety units Requirement 17 Use the contribution margin approach to calculate operating leverage. What is the estimated percent increase in net income if sales increase 10%? New Operating Income? Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data. Operating Leverage Change in Operating Income % New Operating Income