Currently, the unit selling price of a product is $210, the unit variable cost is $170, and the total fixed costs are $312,000. A proposal is being evaluated to increase the unit selling price to $230.a. Compute the current break-even sales (units).b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant. Break-Even SalesCurrently, the unit selling price of a product is $210, the unit variable cost is $170, and the total fixed costs are $312,000. A proposal is being evaluated to increase the unit sellingprice to $230.a. Compute the current break-even sales (units).unitsb. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.units

Break-Even sales in units = Fixed cost/Contribution margin per unit

Currently, the unit selling price of a product is $210, the unit variable cost is $170, and the total fixed costs are $312,000. A proposal is being evaluated to increase the unit selling price to $230. a. Compute the current break-even sales (units). b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.

Currently, the unit selling price of a product is $210, the unit variable cost is $170, and the total fixed costs are $312,000. A proposal is being evaluated to increase the unit selling price to $230. a. Compute the current break-even sales (units). b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 13E

See similar textbooks

Similar questions

Break-Even Sales Currently, the unit selling price of a product is $220, the unit variable cost is $180, and the total fixed costs are $288,000. A proposal is being evaluated to increase the unit selling price to $240. a. Compute the current break-even sales (units). units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant. units
urrently, the unit selling price of a product is $410, the unit variable cost is $340, and the total fixed costs are $1,176,000. A proposal is being evaluated to increase the unit selling price to $460. a. Compute the current break-even sales (units).fill in the blank 1 of 1 units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.fill in the blank 1 of 1 units
Currently, the unit selling price of a product is $390, the unit variable cost is $320, and the total fixed costs are $1,008,000. A proposal is being evaluated to increase the unit selling price to $440. a. Compute the current break-even sales (units). units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant. units
Break-Even Sales Currently, the unit selling price of a product is $290, the unit variable cost is $240, and the total fixed costs are $765,000. A proposal is being evaluated to increase the unit selling price to $330. a. Compute the current break-even sales (units).units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.units
Break-even sales Currently, the unit selling price of a product is $270, the unit variable cost is $220, and the total fixed costs are $520,000. A proposal is being evaluated to increase the unit selling price to $300. a. Compute the current break-even sales (units).fill in the blank 1 of 1 units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.fill in the blank 1 of 1 units
Break-Even Sales Currently, the unit selling price of a product is $390, the unit variable cost is $320, and the total fixed costs are $1,176,000. A proposal is being evaluated to increase the unit selling price to $440. a. Compute the current break-even sales (units) units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased to the proposed $440, and all costs remain constant units
Currently, the unit selling price is $34, the variable cost is $14, and the total fixed costs, $96,000. A proposal is being evaluated to increase the selling price to $38. (a) Compute the current break-even sales (units). (b) Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant. (a) (b)
Break-Even Sales Currently, the unit selling price of a product is $400, the unit variable cost is $330, and the total fixed costs are $1,176,000. A proposal is being evaluated to increase the unit selling price to $450. a. Compute the current break-even sales (units). units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased to the proposed $450, and all costs remain constant. units Check My Work Previous Next 2 more Check My Work uses remaining.
Break-Even Sales Currently, the unit selling price of a product is $240, the unit variable cost is $200, and the total fixed costs are $336,000. A proposal is being evaluated to increase the unit selling price to $270. a. Compute the current break-even sales (units). fill in the blank 1 units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased to the proposed $270, and all costs remain constant. fill in the blank 2 units dont give handwritten answers thank you
Break-Even Sales Currently, the unit selling price of a product is $240, the unit variable cost is $200, and the total fixed costs are $336,000. A proposal is being evaluated to increase the unit selling price to $270. a. Compute the current break-even sales (units).fill in the blank 1 units b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased to the proposed $270, and all costs remain constant.fill in the blank 2 units
P Company has provided the following data: Sales Price per unit: $50. Variable Cost per unit: $30; Fixed Cost: $135,000 Expected Sales: 20,000 units. a. What is the breakeven point in sales dollars? b. What is the break-even point in units? c. Calculate the expected profit.
Many times the selling price of a product p, is related to demand D, according to the relationship p=a - bD. However, a company has found that the price of their product can be related to demand (in units per year) according to the following equation: p=108.5 – 2.08D⁰.75. In addition, there is a fixed cost of P50,000 per year and the variable cost tomanufacture the product is P68 per unit. What is the level of demand which maximizes sales? What is the maximum sales? What level of demand maximizes profit? What is the maximum profit? What are the breakeven quantities of this product if p=678.39-1.08D?