Reference no: EM13747753
Lakers Company produces two products. The following information is available: Product X Product Y Selling price per unit $46 $36 Variable cost per unit $38 $24 Total fixed costs are $234,000. Lakers plans to sell 21,000 units of Product X and 7,000 units of Product Y.
Required:
A) Compute the contribution margin for each product.
B) What is the expected net income?
C) Assume the sales mix is 3 units of Product X for every 1 unit of Product Y. What is the break-even point in units for each product?
D) Assume the sales mix is 3 units of Product X for every 2 units of Product Y. What is the break-even point in units for each product?
|
Prepare the appropriate adjusting entry for depreciation
: Wardell Company purchased a mini computer on January 1, 2011, at a cost of $40,000. The computer has been depreciated using the straight-line method over an estimated five-year useful life with an estimated residual value of $4,000. On January 1, 201..
|
|
What is daytonas earnings per share
: Daytona Corporation had 800,000 shares of common stock outstanding during the year. Daytona declared and paid cash dividends of $400,000 on the common stock and $320,000 on the preferred stock. Net income for the year was $1,760,000. What is Daytona’..
|
|
Outline how companies maintain control over cash
: Outline how companies maintain control over cash and the other assets under their control. During this week you will focus on how companies maintain control over cash and other assets under their control. You are busy reconciling your checking accoun..
|
|
Compute the cost of goods sold for the year ended
: The Palin Company manufactures several products. The Palin Company has gathered the following information for the year ended December 31, 2010: Sales 110,000 Direct materials used 20,800 Indirect production costs N fixed 10,400 Indirect production co..
|
|
Compute the contribution margin for each product
: Lakers Company produces two products. The following information is available: Product X Product Y Selling price per unit $46 $36 Variable cost per unit $38 $24 Total fixed costs are $234,000. Lakers plans to sell 21,000 units of Product X and 7,000 u..
|
|
Short-term debt in the form of notes payable
: On December 31, 2014, Hattie McDaniel Company had $1,203,100 of short-term debt in the form of notes payable due February 2, 2015. On January 21, 2015, the company issued 25,830 shares of its common stock for $38 per share, receiving $981,540 proceed..
|
|
Compute the law firms safety margin
: Determine how many new clients must visit the law office being considered by Terry Smith and his colleagues in order for the venture to break even during its first year of operations. (Round your answer to the next whole number.) Number of new client..
|
|
The venture to break even during its first year of operation
: Determine how many new clients must visit the law office being considered by Terry Smith and his colleagues in order for the venture to break even during its first year of operations.
|
|
What is the total expected indirect production costs
: The EEE Company has obtained the following data: Month Indirect Production Costs Direct Labor Hours July $92,095 4,900 August 105,056 5,480 September 81,802 3,700 October 99,400 4,400 November 109,794 6,000 December 97,404 3,900 Required: A) Using th..
|