Determine the contribution margin in dollars per unit and

Assignment Help Accounting Basics
Reference no: EM13393966

In the month of June, Angela's Beauty Salon gave 3,500 haircuts, shampoos, and permanents at an average price of $30. During the month, fixed costs were $16,800 and variable costs were 80% of sales.

Required:

1. Determine the contribution margin in dollars, per unit, and as a ratio:

2. Using the contribution margin technique, compute the break-even point in dollars and in units:

3. Compute the margin of safety in dollars and as a ratio:

Reference no: EM13393966

Questions Cloud

Using as-ad and is-lm models describe short run and medium : suppose that the economy is currently at the full employment position. using the as-ad and is-lm models explain the
Moving average forecasting models are much powerful tools : moving average forecasting models are powerful tools that help managers in making educated forecasting decisions. a
Economic value added eva is equal to ebit1 ndash t or nopat : economic value added eva is equal to ebit1 ndash t or nopat minus the dollar cost of all the firms investor-supplied
State the specific research goal for the proposalwhat is : 1000 words 2 referencesbegin conducting research now on your companyclient. after brainstorming on your companyrsquos
Determine the contribution margin in dollars per unit and : in the month of june angelas beauty salon gave 3500 haircuts shampoos and permanents at an average price of 30. during
Which of the following transactions is not part of the : which of the following transactions is not part of the operating cyclea. purchase of equipment on creditb. purchase
If fogel is correct must policymakers be concerned by : nobel laureate robert folgel of the university of chicago has argued expenditures on healthcare are driven by demand
After the recent corporate scandals congress and the sec : after the recent corporate scandals congress and the sec tightened reporting rules and began to impose stiff penalties
What are the differences and similarities among managing : answer each question in 250 words or more. middot many organizations have implemented a project office or a

Reviews

Write a Review

Accounting Basics Questions & Answers

  Perform direct tests of account balances

An auditor determines that management integrity if high, the risk of account misstatements is low, and the client's internal controls are effective. Which of the following conclusions can be reached regarding the need to perform direct tests of ac..

  Determine percentage of total assets provided by creditors

O'Shea Enterprises started the 2002 accounting period with$30,000 of assets. Determine the percentage of total assets that were provided by creditors, investors, and earnings.

  What should be the net cash provided by operating activities

Based on the information given above, what should be the net cash provided by operating activities in the statement of cash flows for the year ended December 31, 2011?

  Auditing inventories of raw materials

When auditing inventories of raw materials, purchased parts, and/or merchandise inventory, the auditor's most effective means for evaluating the valuation assertion is to

  How transaction affect the accounting equation

Gomez Service Company paid their first installment on their Notes Payable in the amount of $2,000. How will this transaction affect the accounting equation?)

  How fuunds are disclosed and reported

Find a newspaper or magazine even online and select an article relating to the use of governmental funds by state, county, local government, etc on an activity.

  Prepare an income statement and compute earnings per share

A. Low Carb Diet Supplement, Inc. has two divisions. Division A has a profit of $100,000 on sales of $2,000,000. Division B is only able to make $25,000 on sales of $300,000. Based on the profit margins (returns on sales), which division is superior?

  Ramifications of raising taxes for wealthy

What are your thoughts on the three proposals outlined above, and please feel free to suggest anything that you feel should also be considered in reducing the deficit.

  Determining cash paid for inventory

Using the following information and assuming that all inventory is purchased on account, compute cash paid for inventory:

  Importance of food cost labor and sales

Describe the importance of food cost, labor and sales in a food and beverage operation. Support your description with concepts addressed in the materials provided in this course.

  Total debt to total assets ratio

Venture Corporations total assets are 3 times greater than total equity; total equity is 50% of total liabilities. The total debt to total assets ratio is

  Determine administrative cost allocated to each operating

Determine the administrative cost allocated to each operating department of Ice House Industries, Inc.

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