What is the firm's break-even point? Sales (30,000 units) ....... $150,000 Variable costs ........... 100,800 Contributions margin
Question:
Sales (30,000 units) ....... $150,000
Variable costs ........... 100,800
Contributions margin ....... $ 49,200
Fixed manufacturing costs ..... 24,000
Operating Income ......... $ 25,200
Interest .............. 18,000
Earnings before Taxes ....... $ 7,200
Taxes (30%) ........... 2,160
Net Income ............ $ 5,040
Shares Outstanding ......... 600
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (9 reviews)
Calculation of Break Evan point BEP ...View the full answer
Answered By
Amar Kumar Behera
I am an expert in science and technology. I provide dedicated guidance and help in understanding key concepts in various fields such as mechanical engineering, industrial engineering, electronics, computer science, physics and maths. I will help you clarify your doubts and explain ideas and concepts that are otherwise difficult to follow. I also provide proof reading services. I hold a number of degrees in engineering from top 10 universities of the US and Europe.
My experience spans 20 years in academia and industry. I have worked for top blue chip companies.
5.00+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Managerial Accounting questions
-
Sales for 2014 were $455,150,000, and EBITDA was 15% of sales. Furthermore, depreciation and amortization were 11% of net fixed assets, interest was $8,575,000, the corporate tax rate was 40%, and...
-
Return to a. Sales for March total 25,000 units. Forecasted sales in units are as follows. April, 25,000; May, 17,000; June, 22,400; and July. 25,000. Sales of 259,000 units are forecasted for the...
-
ABC Company had sales of 2,000 this year and ended up with A R 200 A P 220 INV 140 and bank loan 200. What is the change in the amount of each item if sales are projected to increase to 3,000 next...
-
Granite Corp. sent a check to Overseas Equipment Co. When the check was reported lost, Granite wrote to its bank telling it to stop payment on the check. Granite then sent the money to Overseas...
-
At room temperature the electrical conductivity and the electron mobility for copper are 6.0 107 (-m)-1 and 0.0030 m2/V-s, respectively. (a) Compute the number of free electrons per cubic meter for...
-
Please discuss dynamic programming, greedy, and iterative improvement algorithm design technique with an example. Also, compare and contrast these techniques pointing out their advantages and...
-
Consider a deterministic cash flow stream \(\left(x_{0}, x_{1}, x_{2}, \ldots, x_{n} ight)\) with all positive flows. Let \(\mathrm{PV}(r)\) denote the present value of this stream at an interest...
-
A machine with a book value of $49,000 has an estimated five-year life. A proposal is offered to sell the old machine for $30,000 and replace it with a new machine at a cost of $64,000. The new...
-
1.1 A network protocol can be defined as an established set of rules that determine how data is transmitted between different devices in the same network. Discuss the two principal functions of a...
-
Kampa Company and Arbor Company are similar firms that operate in the same industry. Arbor began operations in 2001 and Kampa in 1995. In 2006, both companies pay 7% interest on their debt to...
-
You have just been offered a $1,000 par value bond for $847.88. The coupon rate is 8 percent, payable annually, and annual interest rates on new issues of the same degree of risk are 10 percent. You...
-
Selling price per unit, $20; total fixed expenses, $5,000; variable expenses per unit, $15.Find break-even sales in units.
-
Bennis SA had the following transactions occur involving current assets and current liabilities during February 2020. Feb. 3 Accounts receivable of R$15,000 are collected. 7 Equipment is purchased...
-
Which methomu.C 2024 called just before an object is Garbage Collect wait() notify() donmu.divya01 finalize() 2-JAN-2024
-
Predict the output? 1. public class 2. public static void024 muya0 main(String[] args) { 3. String s2="null"; 4. if (s2 == null) { 5. But print/true") 2-JAN-2024 6.) 7.} 8.} u.divya01 2024 O Code I...
-
You opened a donut shop. Cost of rent is $3000 a month, the cost of kitchen equipment is $5000, the cost of decorating and furnishing the shop is $10,000, the cost of ingredients fluctuates by season...
-
What percentage of Amazon's operating profits does Amazon Web Services (AWS) account for? What percentage of Amazon's operating profits does Amazon Web Services (AWS) account for?
-
In the HDLC frame structure the FCS and flag fields following the data field are referred to as a trailer
-
In Problems 26-31, find f'(x) and simplify. f(x) = x 5x + 1 - 3
-
Chloroplasts are illuminated until the levels of the Calvin cycle intermediates reach a steady state. The light is then turned off. How does the level of RuBP vary after this point?
-
What is a business transaction?
-
In its 2007 annual report Campbell Soup Company reports beginning-of-the-year total assets of $7,745 million, end-of-the-year total assets of $6,445 million, total sales of $7,867 million, and net...
-
Francis Corporation purchased an asset at a cost of $50,000 on March 1, 2010. The asset has a useful life of 8 years and a salvage value of $4,000. For tax purposes, the MACRS class life is 5 years....
-
Lansbury Company purchases equipment on January 1, Year 1, at a cost of $518,000. The asset is expected to have a service life of 12 years and a salvage value of $50,000. (a) Compute the amount of...
-
You are working in a clinic and have just roomed a patient. When you come out of the room, you overhear me complaining to two co-workers about you and how slow you are. [Take the role of the other...
-
What are the advantages and pitfalls of the media's appetite for telling and selling stories? As we reach the point where almost all media exist on the Internet in some form, how have our culture and...
-
When looking at a project to convert data into information, data analysis is the methodology thatshould be used to accomplish the output. When reviewing the tools used in the course and the data that...
Study smarter with the SolutionInn App