Calculate the break-even point in hours for the firm

Assignment Help Financial Accounting
Reference no: EM132874216

Question - VP Analysis - The National, Inc. provides support center services of two types:

 

1

2

Total

Total Revenues

$20,000

$45,000

$65,000

Total Variable Costs

$10,000

$15,000

$25,000

Total Fixed Costs

$6,000

$12,000

$18,000

Activities are measured in hours.

The sales price per hour for 1 is $100 per hour, while the sales price per hour for 2 is $150.

The variable cost per hour for both 1 and 2 is $50.

The National has one location. Further, the computers and other communication equipment are shared by both service types. Fixed costs are allocated to the two types based on an estimate first implemented five years earlier, and managers question the reliability of fixed cost estimates.

Required - Use the provided information to calculate the break-even point in hours for the firm as a whole.

Reference no: EM132874216

Questions Cloud

Applications of goldratt theory of constraints : Read about key elements and applications of Goldratt's theory of constraints.
Foreign direct investment and financial risk assessment : Explain how you will approach Foreign Direct Investment and Financial Risk Assessment.
What bart report allowance for doubtful accounts balance : Bart estimates its uncollectible receivables at 2% of net sales. For 2005, what Bart should report allowance for doubtful accounts balance
Attribute success of southwest airlines : To what do you attribute the success of Southwest Airlines? What should their business and operations strategy be for the future?
Calculate the break-even point in hours for the firm : The sales price per hour for 1 is $100 per hour, while the sales price per hour for 2 is $150. Calculate the break-even point in hours for the firm
Explains how optimizing purchasing process : Explains how optimizing a purchasing process saved $1 million. Explain how you, as a quality manager, would apply at least three of the 7M tools
How much does KLA Manufacturing need in external funds : Based on Mr. Bruce's sales growth forecast, how much does KLA Manufacturing need in external funds for the upcoming fiscal year
Survey of hr global challenges : Survey of HR Global Challenges. A recurring top-level challenge in the survey is the development of global leadership.
Pmo support individual project managers in project execution : What will the PMO structure look like organizationally and geographically? How will the PMO support individual project managers in project execution?

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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