How many units must be sold to earn net income

Assignment Help Managerial Accounting
Reference no: EM132799053

Question - A company desires to sell a sufficient quantity of products to earn a profit of $400,000. If the unit sales price is $20, unit variable cost is $12, and total fixed costs are $800,000, how many units must be sold to earn net income of $400,000?

a. 225,000 units

b. 150,000 units

c. 120,000 units

d. 90,000 units

Reference no: EM132799053

Questions Cloud

Effective execution of system approach : Effective execution of system approach to human resource management comprises of job analyses, followed by HR planning; recruitment and selection
What amount of provision should be accrued as liability : The entity's attorneys agree that it is probable that Ramsay will lose this appeal. What amount of provision should be accrued as liability
Should teachers know the rules in advance : Should teachers know the rules in advance, or will you consider these kinds of requests on a case-by-case basis? Will allowing this teacher to keep her hair.
Bsbhrm501-manage human resource services : Why should HR professionals consult line and senior managers about human resources needs in their areas? Provide at least five reasons
How many units must be sold to earn net income : If the unit sales price is $20, unit variable cost is $12, and total fixed costs are $800,000, how many units must be sold to earn net income of $400,000
Recommended wellness program for employees in organization : What is the most effective and most recommended wellness program for employees in an organization?
How does the quote resonate with you : How does this quote resonate with you? Have you already experienced this in your internship, or perhaps observed it in your school?
Describing the response of a certain organization : Describing the response of a certain organization to the COVID-19 pandemic and what are your thoughts and insights
What are the estimated sales revenues in the coming year : This new price is expected to be in line with the competition and have no effect on the volume estimates. What are the estimated sales revenues

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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