Exercise 5-11 Missing Data; Basic CVP Concepts [LO5-1, LO5-9]

Fill in the missing amounts in each of the eight case situations below. Each case is independent of the others. (Hint: One way to find the missing amounts would be to prepare a contribution format income statement for each case, enter the known data, and then compute the missing items.)

Required:

a. Assume that only one product is being sold in each of the four following case situations:

b. Assume that more than one product is being sold in each of the four following case situations:

(For all requirements, Loss amounts should be indicated by a minus sign.)

Assume that only one product is being sold in each of the four following case situations:

	Case #1	Case #2	Case #3	Case #4
Unit sold	9,500		19,900	4,000
Sales	$323,000	$361,800		$104,000
Variable expenses	180,500		258,700
Fixed expenses	86,000	160,000		90,000
Net operating income (loss)		$67,800	$81,200	$(54,000)
Contribution margin per unit		$17	$8

Assume that more than one product is being sold in each of the four following case situations:

	Case #1		Case #2		Case #3		Case #4
Sales	$443,000		$199,000				$298,000
Variable expenses			131,340				101,320
Fixed expenses			50,000		467,000
Net operating income (loss)	$49,910				$76,620		$(21,320)
Contribution margin ratio (percent)	37	%		%	77	%		%