User Account

All Pages

Calculating costs and break-even

Assignment Help Finance Basics
Reference no: EM132070063

Calculating Costs and Break-Even [LO3] Night Shades, Inc. (NSI), manufactures biotech sunglasses. The variable materials cost is $9.64 per unit, and the variable labor cost is $8.63 per unit.

a. What is the variable cost per unit?

b. Suppose NSI incurs fixed costs of $915,000 during a year in which total production is 215,000 units. What are the total costs for the year?

c. If the selling price is $39.99 per unit, does NSI break even on a cash basis? If depreciation is $465,000 per year, what is the accounting break-even point?

Reference no: EM132070063

Questions Cloud

Evaluate the amount dividends was paid to shareholders : The retained earnings at the end of the previous year were 269,000. How much in dividends was paid to shareholders during the year?
What is the present value of investment : He must invest $10,000 at the start of the first year and an additional $10,000 at the end of the first year.
Share of common stock : McCall Corporation has a capital structure consisting of 55 percent common equity, 30 percent debt, and 15 percent preferred stock.
What is the maximum dollar increase in sales : The company maintains a constant 30 percent dividend payout ratio and a constant debt-equity ratio.
Calculating costs and break-even : Calculating Costs and Break-Even [LO3] Night Shades, Inc. (NSI), manufactures biotech sunglasses.
Projected roe between the restricted and relaxed policies : Under a relaxed policy, current assets will be 25% of sales. What is the difference in the projected ROEs between the restricted and relaxed policies?
Are you happy with the risk-adjusted portfolio performance : The statement indicates that your portfolio return for the past year was up 25%. In addition, you noticed, within the statement, that the S&P rose 18%.
Machine with a fully automated machine : Your firm is replacing a manually-operated machine with a fully automated machine. The old machine was purchased 5 years ago
What is the annual cash flow for years 1 through 5 : The new machine will not increase sales, but will reduce operating costs by $20,000 per year. The firm's tax rate is 21%.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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