Description of break-even point

Assignment Help Managerial Accounting
Reference no: EM1348517

Assume that a commercial airplane manufacturing company's annual fixed costs for the widebody passenger jet are $1,425 million, and its variable cost per airplane is $90 million. The price for a 240-passenger plane with a range up to 4,010 miles is about $105 million per plane.

Compute the company's break-even point in number of widebody passenger jets and in dollars of sales.

Reference no: EM1348517

Questions Cloud

Managerial accounting-importance of price and volume : Why is it important to investigate both price (rate) and volume (efficiency) variances when rewarding employees for satisfactory work when performance evaluations are based on meeting budgets?
Determine the angle : An uncharged spherical conducting shell surrounds a point charge - q at its centre. Then a charge +3q is placed on the outside surface of shell.
Leaders traits and follower cooperation : determine whether or not a follower wishes to cooperate. Do you think this is true
Determine resonant frequency in series rlc resonant circuit : Given the series RLC resonant circuit in the figure, operating at variable frequency, determine: The resonant frequency ω o ,  The circuit’s quality factor Q , The cut-off frequencies, f 1  & f 2  and the bandwidth BW
Description of break-even point : Assume that a commercial airplane manufacturing company's annual fixed costs for the widebody passenger jet are $1,425 million, and its variable cost per airplane is $90 million.
Criminal behavioral research : A brief description of one ethical principle and one research standard that you think apply to conducting research in criminal behavior. Then, explain how each applies, using specific examples.
Computing financial ratios : Research the the four firms using either Key Statistics or Financials from the overview main pages for the stocks onYahoo! Finance Web site. Compute and compare the following financial ratios for the 4 firms for their most recent fiscal years:
Hr perspective - integrity and personality tests : Do you think employers should use integrity and personality tests to make recruiting and promotion decisions
Traditional cost systems distort costs : Explain how traditional cost systems, using a single unit-level cost rate, may distort product costs.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Determine the ending finished goods inventory

Determine the ending finished goods inventory. What was the cost of indirect labor? What was the amount of factory overhead applied? Determine total manufacturing costs incurred during 2007. What was the cost of good manufactured?

  Personal expense budget

George Marcus, a recent college graduate, has been appointed by Taylor Corporation at a salary of $54,000 per year. In anticipation of his salary, George bought a $20,000 new ski boat and will pay for it at a rate of $425 per month

  Describing cost-volume-profit

Disk City, Inc. is a retailer for digital video disks. The projected net income for the current year is $2,740,000 based on a sales volume of 270,000 video disks.

  Evaluate net purchases at retail and net sales

Evaluate net purchases at retail and net sales for the month of September

  Cvp analysis and income taxes

Diego Motors is a small car dealership. On average it sells the car for $25,000 which it buys from the manufacturer for $22,000. Each month, Diego Motors pays $50,000 in rent and utilities and $60,000 for salespeople's salaries.

  Needham company job costing system-calculate operating

Needham Company uses normal costing in its job-costing system. Partially completed T-accounts and additional information for Needham for 2008 are as follows:

  Fasb and ifrs standards

How does FASB and IFRS standards differ from on another? If the US adopted the IFRS standards what are the advantages and disadvantages?

  Prepare cost of goods manufactured and sold schedules

Prepare a schedule of cost of goods manufactured for the month. Prepare a schedule of cost of goods sold for the month.

  Joint cost and utilization of scarce resources

The Dallas plant of Oscar Chemical processes talphazine into zetazine and gammazine. A batch consists of 20,000 gallons of talphazine, costing $11,000.

  Examining cost variances

Consider your professional experiences as well as your review of the Required and/or Optional Resources and determine what type of variances might be the most alarming to see. What type of inventory control considerations do you think are occurring..

  Managerial compensation-ownership and control

Critically describe how managerial compensation can aid align the interests of shareholders and manager, and hence be effective in mitigating the costly consequences and effects of separation of ownership and control.

  Use of job order and process cost system

Discuss the factors that a company must consider when deciding whether to use a job order or a process cost system. What might be the consequences to a company if they make the wrong choice?

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