Calculate breakeven units and revenue for her total business

Assignment Help Managerial Accounting
Reference no: EM131168925

Sarah's T-Shirts

Sarah's T-Shirts business makes and sells tie dyed and embroidered T-Shirts. Sales information for the last year is shown below. During the year, Sarah's fixed manufacturing costs were $40,000 and fixed Selling and Administrative costs were $50,000.

 

Tie Dyed

Embroidered

Sales units

15,000

8,000

Unit price

$ 12

$ 18

Variable manufacturing cost/unit

$  7

$   9

Sales commission (% sales)

10%

15%

Prepare an Income Statement in Contribution Margin format for Sarah's business. Calculate breakeven units and revenue for her total business.

Reference no: EM131168925

Questions Cloud

What if interest rates are non-zero : Show that if interest rates are zero and call option prices are a differentiable function of strike then the derivative of the prices with respect to strike must lie between -1 and 0. What if interest rates are non-zero?
Calculate the electric field at point a : Give the x and y components of the electric field as an ordered pair. Express your answer in newtons per coulomb to three significant figures.
Is it united states government obligation to provide health : Is it the United States government's obligation to provide health, safety and also the welfare of its citizens? Internally should the United States government protect us from unsafe products and environmental conditions?
Find optimal rational bounds on the one-year contracts : Find optimal rational bounds on the 1-year contracts a digital call on S struck at 0.9, a digital put struck at 0.9 and a portfolio of 0.5 digital calls struck at 0.5 and 1 call option struck at 0.75.
Calculate breakeven units and revenue for her total business : Prepare an Income Statement in Contribution Margin format for Sarah's business. Calculate breakeven units and revenue for her total business
Use the simplex method to minimize : Use the simplex method to minimize 3x1 +x2 subject to x1 +x2 ≥ 2, x1 + 3x2 ≥ 3, and x1, x2 ≥ 0.- Add surplus variables x3, x4 to convert the constraints to equations,
Formulate and prove an analogous result for upper bounds : Show that the optimal modelfree lower bound for D is always less than or equal to f (So). Formulate and prove an analogous result for upper bounds.
Why did aristotle hate it so much : In the purest sense, it means the ability to vote, and to have that vote count. The voice of the people is heard through their votes, but only if those votes matter. To elaborate, there are countries where you can vote but there is only one name o..
How will the prices of call options on a and b struck : Asset B will be worth 110 with probability 0.5 and 90 otherwise. Asset C is worth 1 both today and tomorrow. How will the prices of call options on A and B struck at 100 compare?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Loan balance end of year

Assume the following for a one-year rate adjustable rate mortgage loan that is tied to the one-year Treasury rate:

  Iidentify cost of goods manufactured for the period

Iidentify Cost of Goods Manufactured for the period and create an income statement for August 2014. Statement of Cost of Goods Manufactured and Income StatementInformation from the records of the Valley Manufacturing Company for August 2014 follows

  Considering all three investments together

Considering all three investments together, did Anita earn a 20% rate of return? Explain.

  Question on sunk cost

Differentiate among sunk costs, opportunity costs, and relevant costs. Choose one cost and discuss a situation where and why a manager from Anthony's Orchards would use that cost.

  Vargo company makes two distinct products

Vargo Company makes two distinct products with the following information available for each.

  What is the weighted average cost of capital

What is the weighted average cost of capital using retained earnings? What is the weighted average cost of capital using new common stock?

  Prepare a brief memorandum for the president explaining how

Prepare a brief memorandum for the president explaining how his revised assumptions affect the cash budget.

  Compute and interpret the contribution margin ratio

Compute and interpret the contribution margin ratio using the following data: sales

  Purchases in the fourth quarter amounted

A capital expenditure for $60,000 is planned for the fourth quarter of 2012.

  Determine the profitability of the firms e-commerce

Is an aggressive expansion of either service currently desirable and Determine the profitability of the firm's e-commerce and information systems activities, expressing your answer both in dollars and as a percentage of activity revenue.

  Manufactures electrical components

Harbor Enterprises, Inc. (HE) manufactures electrical components.

  What are the major benefits of budgeting

Why is budgeted performance better than past performance as a basis for judging actual results and what are the major benefits of budgeting?

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