Company net contribution margin

Assignment Help Accounting Basics
Reference no: EM13134746

Last year, Twins Company reported $750,000 in sales (25,000 units) and a net operating income of $25,000. At the break-even point, the company's total contribution margin equals $500,000. Based on this information, the company's:

a) contribution margin ratio is 40%.

b) break-even point is 24,000 units.

c) variable expense per unit is $9.

d) variable expenses are 60% of sales.

Reference no: EM13134746

Questions Cloud

Properties of parabolas and formulas : Find all lines through the point (2,1) that are tangent to parabola y=xsquared. What properties of parabolas and formulas do you use to solve this problem?
Explain number of chiral carbons as beta-d-glucose : Does beta-D-fructose in its cyclic form have the same number of chiral carbons as beta-D-glucose?
Prepare a variance analysis report with both flexible-budget : Prepare a variance analysis report with both flexible-budget and sales-volume variances.
How much cash is budgeted to be paid in february : The cash balance on February 1st was $20,000. Zeppelin's goal is to maintain at least a $20,000 cash balance. Zeppelin can borrow cash in increments of $1,000. How much cash is budgeted to be paid in February for operating costs?
Company net contribution margin : Last year, Twins Company reported $750,000 in sales (25,000 units) and a net operating income of $25,000. At the break-even point, the company's total contribution margin equals $500,000. Based on this information, the company's:
Find imported autos sold to over forty age group : The proportion p1 of all imported autos sold to 25-40 age group is greater than or equal to the proportion p2 of imported autos sold to over 40 age group?
What will be the final pressure in the two bulbs : When the valve between the 2.00-L bulb, in which the gas pressure is 2.00 atm, and the 3.00-L bulb, in which the gas pressure is 4.50 atm, is opened, what will be the final pressure in the two bulbs?
Determine the amount of depreciation expense : The equipment was used for 8,000 hours during 2006, 7,500 hours in 2007, and 5,500 hours in 2008. Instructions Determine the amount of depreciation expense for the years ended December 31, 2006
Find probability that resistor picked at random is rejected : Assuming that X is a normal R.V. with mean 1000 and variance 2500, find the probability that a resistor picked at random will be rejected.

Reviews

Write a Review

Accounting Basics Questions & Answers

  What is the interest expense for the first and second year

on january 1 f the current year, feller corporation issued $3000000 of 10% debenture bonds on a basis to yield 9%,receiving $3134580. interest is payable annually on december 31 and the bonds mature in 6 years.the effective interest method is used..

  What are the benefits of purchasing the car outright

We have two possible ways that Edwina could purchase her car; she could pay for it outright from her savings. Or, she could get a loan to pay for the car. What are the benefits of purchasing the car outright include or getting a loan? Is there ano..

  High-low method of cost estimation

Ingram Co. manufactures office furniture. During the most productive month of the year, 3,500 desks were manufactured at a total cost of $84,400. In its slowest month, the company made 1,100 desks at a cost of $46,000.

  Report foreign currency on consolidated balance sheet

A Clarke Corporation subsidiary buys marketable equity securities and inventory on April 1, 2009, for 100,000 pesos each. It pays for both items on June 1, 2009

  Information about quality control costs

How would I figure the monthly quality costs when I use overhead through the basis of direct labor costs? Then what would I do to figure out the quality costs though an ABC system?

  How much interest expense will be recognized in 2012

A company issues $15,000,000, 7.8%, 20-year bonds to yield 8% on January 1, 2012. Interest is paid on June 30 and December 31. The proceeds from the bonds are $14,703,109. Using effective-interest amortization, how much interest expense will be re..

  Which method of accounting gaap or ifrs

Which method of accounting (GAAP or IFRS) do you more closely agree in concerning the allocation of purchase price? Explain your rationale.

  Importance and usefulness of accounting cycle

Please discuss the value of the accounting cycle to a company including: Normal length of the cycle-Integration with required governmental reporting

  Accumulated earnings tax problem

The accumulation was motivaated by his thinking that a depression was just around the corner. Tax savings did not enter his mind. Does the accumulated earnings tax apply to T corporation?

  Compute the amount lyle

Lyle O 'Keefe invests $21,900 at 8% annual interest, leaving the money invested without withdrawing any of the interest for 9 years. At the end of the 9 years, Lyle withdrew the accumulated amount of money.

  Calculate eps and cash dividend

Calculate the firm's 2003 earnings per share (EPS). How large a per share cash dividend did the firm pay on common stock during 2003?

  Concept of change in reporting entity

Which of the following describes a change in reporting entity?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd