Question: Data for Hermann Corporation are shown below Per Unit Percent of Sales 100% 70 -30% Selling price Variable expenses Contribution margin $90 63 $27 Fixed

Data for Hermann Corporation are shown below Per Unit Percent of Sales 100% 70 -30% Selling price Variable expenses Contribution margin $90 63 $27 Fixed expenses are $30,000 per month and the company is selling 2,000 units per month. Required: 1. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $5,000 and monthly sales increase by $9,000? Refer to the original data. How much will net operating income increase (decrease) per month if the company uses higher-quality components that increase the variable expense by $2 per unit and increase unit sales by 10%. 2. 060 Mauro Products distributes a single prodbet, a woven basket whose selling price is S15 per unit and whose variable expense is $12 per unit. The company's monthly fixed expense is $4.200. 1. 2. 3. Calculate the company's break-even point in unit sales. Calculate the company's break-even point in dollar sales. If the compan point in unit sales? In dollar sales? y's fixed expenses increase by $600, what would become the new break-even Lin Corporation has a single product whose selling price is $120 per unit and whose variabl expense is $80 per unit. The company's monthly fixed expense is S50,000 1. Calculate the unit sales needed to attain a target profit of $10,000. 2. Calculate the dollar sales needed to attain a target profit of $15,000
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