User Account

All Pages

What is the contribution margin per pound of ribs

Assignment Help Accounting Basics
Reference no: EM132094405

Problem - Robbie's Ribs has the following sales and cost information:

Average number of pounds sold per year - 39,750

Average selling price per pound of ribs - $11.50

Variable expenses per pound:

  • Raw material - $3.70
  • Variable labor and overhead - $3.20

Annual fixed costs:

  • Production expenses - $37,300
  • Selling & Administrative expenses $15,186

The company's tax rate is 30%. The company's costs have slowly been rising and profits rapidly falling. Robbie Shaw, company president, has asked your help in answering the following questions:

1. What is the contribution margin per pound of ribs? The contribution margin ratio?

2. What is the break-even point in pounds of ribs? In dollars?

3. How much revenue must be generated to produce $39,749 of pretax income? How many pounds of ribs would this level of revenue represent?

4. How much revenue must be generated to produce $24,500 after-tax income? How many pounds of ribs would this represent?

Reference no: EM132094405

Questions Cloud

What ways have asian americans experienced target status : In what ways have Asian Americans experienced “target” status? Why are Asian Americans often not thought of as a minority group?
Prepare the corporations journal entry : On January 1, 2014, Henderson Corporation redeemed $637,200 of bonds at 98. Prepare the corporation's journal entry to record the reacquisition of the bonds
Immediate supervisor of a position : Team B will watch a Video of a Compensation Specialist interviewing the Immediate Supervisor of a position regarding the details of the position.
The vision and mission statement : It is so difficult to find or create new products, so many wonderful things have been created from nothing over the past 10 years, but it is possible
What is the contribution margin per pound of ribs : Average number of pounds sold per year - 39,750. What is the contribution margin per pound of ribs? The contribution margin ratio
What risk does an insurance professional face : What risk does an insurance professional face if they do business without the appropriate license?
Terms of positives and deficits : Using the article you read and your text discuss some of what you observed, both in terms of positives and deficits and discuss how CQ could have been improved?
Calculate and displays rose plant sales for n customers : NIT5150 – Advanced Object Oriented Programming - Create a C# application that calculate and displays rose plant sales for N customers who registered for online
Define process for explaining or measuring intelligence : Select one theoretical model or process for explaining or measuring intelligence (i.e. Gardner's Multiple Intelligences, standardized IQ tests, etc.).

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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