Question: Pentucket Computer Company manufactures personal computers and tablets. Based on the latest information from the cost accountant, using the current sales mix, the weighted average

 Pentucket Computer Company manufactures personal computers and tablets. Based on thelatest information from the cost accountant, using the current sales mix, theweighted average sales price per unit is $780 and the weighed-average variablecost per unit is $468. The company does not expect the sales

Pentucket Computer Company manufactures personal computers and tablets. Based on the latest information from the cost accountant, using the current sales mix, the weighted average sales price per unit is $780 and the weighed-average variable cost per unit is $468. The company does not expect the sales mix to vary for the next year. Average fixed costs per month are $168.480 Read the requirements. Requirement 1. What is the number of units that must be sold each month to reach the breakeven point? Start by selecting the formula and entering the amounts to compute the breakeven point in units. (Complete all input fields. Enter a "0" for any zero balances.) Breakeven in units Requirement 2. If the company currently sells 920 units per month, what is the margin of safety in units and dollars? Begin by calculating the margin of safety in units. = Margin of safety in units Now calculate the margin of safety in dollars. Choose from any list or enter any number in the input fields and then continue to the next question. 0 Requirements 1. What is the number of units that must be sold each month to reach the breakeven point? 2. If the company currently sells 920 units per month, what is the margin of safety in units and dollars? 3. If Pentucket Computer Company desires to make a profit of $21,840 per month, how many units must be sold? 4. Pentucket Computer Company thinks it can restructure some costs so that fixed costs will be reduced to $29,640 per month, but the weighted-average variable cost per unit will increase to $702 per unit. What is the new breakeven point in units? Does this increase or decrease the margin of safety? Why or why not? Print Done NOW calculate the margin of safety in dollars. Margin of safety in dollars Requirement 3. If Pentucket Computer Company desires to make a profit of $21,840 per month, how many units must be sold? (Complete all input fields. Enter a "0" for any zero balances.) = Required sales in units Requirement 4. Pentucket Computer Company thinks it can restructure some costs so that fixed costs will be reduced to $29,640 per month, but the weighted average variable cost per unit will increase to $702 per unit. Wh the new breakeven point in units? Does this increase or decrease the margin of safety? Why or why not? Begin by calculating the new breakeven point in units. (Complete all input fields. Enter a "0" for any zero balances.) = Breakeven in units Does this increase or decrease the margin of safety? Why or why not? This the margin of safety because Choose from any list or enter any number in the input fields and then continue to the next

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!