Question: The equation ' ( fixed costs + target profit ) / contribution margin ratio' is used to calculate breakeven in sales dollars by the method.

The equation '(fixed costs + target profit)/contribution margin ratio' is used to calculate breakeven in sales dollars by the
method.
A. equation approach
B. contribution margin approach
C. contribution margin ratio approach
D. target profit approach
The equation '(fixed costs + target profit)/contribution margin ratio' is used

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!

Q:

The equation for the profit equation method is Blank______. Multiple choice question. (Total Fixed Costs + Target Profit) Contribution Margin Ratio (%) = Profit Actual or Budget Sales - Break Even...

Q:

acc The equation '(fixed costs + target profit) / contribution margin per unit is used to calculate breakeven in units by the method. A. contribution margin ratio approach B. equation approach C....

Q:

method The equation (fixed costs + target profit) /contribution margin per unit is used to calculate breakeven in units by the O A contribution margin approach OB. equation approach C. contribution...

Q:

1.Laurent Industries is attempting to calculate the number of units they would have to sell of their product to reach a target level of operating income for the upcoming month. Which formula would...

Q:

cost- valume- profet analysis i need it as soon as possible and i don't have any more information The equation (fixed costs + target profit)/ contribution margin per unit' is used to calculato...

Q:

S21-9,10,11 Cost-Volume-Profit Analysi 621-9 Computing contri?hution margin, units and required sales to break even, Learning Objectives 2 units to achieve targei proit Compute the missing aniounts...

Q:

Case Study: INTRODUCTION "Balancing quantitative and qualitative factors can be quite a challenge," Charles Riley thought to himself. Riley is the CFO of Fashion Designs International, Inc. (FDI), a...

Q:

Old MathJax webview t please answer only 5 to 10 Laila company has provided the following information about the company Sales $225,000 Sales Discount $20,000 Overhead cost (Fixed) $ 35,000 Overhead...

Q:

Multiple Choice Questions 1. If a company has a $25,000 reduction in sales and an increase of $7,000 in fixed costs with a contribution margin ratio of 34 percent, by how much will net income change?...

Q:

1 CVP question Laila company has provided the following information about the company Sales $225,000 Sales Discount $20,000 Overhead cost (Fixed) $ 35,000 $ 20,000 $2,500 Overhead (Variable) Sales...

Q:

The homicide clearance rate in Virginia is 74%. A crime is cleared when an arrest is made, a crime is charged, and the case is referred to a court. a. What is the probability that 7 or fewer out of...

Q:

The production function is Q = ALa Kb, where a > 0 and b > 0. a. The marginal product of labor is MPL = __________________ . b. The marginal product of capital is MPK = __________________ . c. The...

Q:

The value of a real option is found by tailing the difference between the expected NPV of a project with the option and the expecticd NeV of the preject without the option. The or False: The...

Q:

Assume Funky Dance made Net Sales Revenue of $94.000 and Cost of Goods Sold totaled $42,000. What was Funky Dance's gross profit percentage for this period? (Round your answer to the nearest whole O...

Q:

It is not our policy to exchange sale items, especially after they have been worn.

Q:

You neglected to sign the enclosed contract.

Q:

You should have realized that waterbeds will freeze in unheated houses during winter. Therefore, our guarantee does not cover the valve damage and you must pay the $9.50 valve-replacement fee (plus...