What is the break even point per month in sales dollars

Assignment Help Managerial Accounting
Reference no: EM13938296

Clyde's Marina has estimated that fixed costs per month are $300,000 and variable cost per dollar of sales is $0.40.

Required:

a. What is the break-even point per month in sales dollars?
b. What level of sales dollars is needed for a monthly profit of $60,000?
c. For the month of July, the marina anticipates sales of $1,000,000.What are the expected level of profit?

Reference no: EM13938296

Questions Cloud

How many cakes must be sold to earn a monthly profit : Calculate the break even point for a month in units. How many cakes must be sold to earn a monthly profit of $10,000?
Calculate the net present value and profitability index : Using a 4.4% discount rate, calculate the Net Present Value, Payback, Profitability Index and IRR for each of the investment projects below (note, the inflows are for each year). Assuming a budget of $2,000,000 what are your recommendations for the a..
Considering project with an initial fixed asset cost : Gateway Communications is considering a project with an initial fixed asset cost of $2.46 million which will be depreciated straight-line to a zero book value over the 10-year life of the project. At the end of the project the equipment is scrapped. ..
Determine investor after-tax rate of return on investment : An investor bought a racehorse for $14 M. The horse’s average winnings were $5,300,000 per year and expenses averaged $500,000 per year. The horse was retired after 2 years, at which time it was sold to a breeder for $9,500,000. Assuming 3 year MACRS..
What is the break even point per month in sales dollars : What is the break-even point per month in sales dollars? What level of sales dollars is needed for a monthly profit of $60,000?
The eukaryotic organelles : Describethe structure and function of each of the eukaryotic organelles. Distinguishbetween those that are and are not membranous. Explain the importance ofmembrane structure and function in the organization of living processes withincells.
What is the average accounts receivable figure : Skye Flyer, Inc., has weekly credit sales of $18,600, and the average collection period is 28 days. What is the average accounts receivable figure?
Equipment is depreciated straight-line to zero book value : Thornley Machines is considering a 3-year project with an initial cost of $1,050,000. The project will not directly produce any sales but will reduce operating costs by $600,000 a year. The equipment is depreciated straight-line to a zero book value ..
Preffered stock is a hybrid security : Preffered Stock is a hybrid security, because it has some characteristics typical of debt and others typical of equity. The following table lists various characteristics of preferred stock. Determine which of these characteristics is consistent with ..

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