If a firm has fixed costs of $45,000, a price of $9.00, and a breakeven point...

If a firm has fixed costs of $45,000, a price of $9.00, and a breakeven point of 22,500 units, the variable cost per unit is:

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jeff jeffy answered 2 years ago

BREAKEVEN POINT AND SELLING PRICE UAE Industries will manufacture and sell 325,000 units next year. Fixed...

BREAKEVEN POINT AND SELLING PRICE UAE Industries will manufacture and sell 325,000 units next year. Fixed costs will total SAR 675,000, and variable costs will be 36% thirty-six percent) of sales. a. The firm wants to achieve a level of earnings before interest and taxes of SAR 300,000. What selling price per unit is necessary to achieve this result? b. Set up a pro forma income statement to verify your solution to part a. Solution: DATA Sell 325,000 Fixed Costs...

Suppose Morrison Corp.’s breakeven point is revenues of $1,100,000. Fixed costs are $660,000. Use Morrison Corp.’s...

Suppose Morrison Corp.’s breakeven point is revenues of $1,100,000. Fixed costs are $660,000. Use Morrison Corp.’s contribution margin percentage to compute the selling price if variable costs are $16 per unit. a) $25.60 b) $24.00 c) $40.00 d) $26.67

breakeven analysis assumes that all costs are fixed or variable. In reality, this is an inaccurate...

breakeven analysis assumes that all costs are fixed or variable. In reality, this is an inaccurate assumption. Some costs are semi-variable and mixed. In the book discusses 3 different ways to separate mixed and variable costs into fixed and variable parts, but these are estimates as well. Considering the inaccuracies and estimates in the assumptions, what is the point of doing break even analysis at all?

The breakeven point is an important factor of cost accounting. Miscalculating the breakeven point could be...

The breakeven point is an important factor of cost accounting. Miscalculating the breakeven point could be detrimental to an overall forecast. Discuss the pros and cons of the different methods for finding the breakeven point with your peers.

Discuss the importance of determination of fixed and variable costs for breakeven and profitability analysis. Use...

Discuss the importance of determination of fixed and variable costs for breakeven and profitability analysis. Use the health care institution as an example for analysis to support your points

In a Monopoly market, a firm is a price setter. Fixed Costs remains at $1,000.00, where...

In a Monopoly market, a firm is a price setter. Fixed Costs remains at $1,000.00, where are the firm’s profit maximization point, break-even point, and shut-down? Calculate the revenue, costs, and profit (if any).graph Q P=D TC TR Profit TVC ATC AVC AFC MC MR 0 $399.99 $1,000 0 1,000 0 - - - - - 10 $379.99 $3,000 3799.9 799.9 2,000 300 200 100 200 379.99 20 $359.99 $4,000 7199.8 3199.8 3,000 200 150 50 100 339.99 30 $339.99...

QUESTION 11 What is the breakeven point in units with a selling price per unit of...

QUESTION 11 What is the breakeven point in units with a selling price per unit of $100, total fixed expenses of $250,000, and variable expense per unit of $50? a. 2500 units b. 7500 units c. 10,000 units d. 5000 units ---------- What inputs are used to calculate the flexible budget? a. Actual quantity X standard price b. Standard quantity allowed for actual output X Standard price c. Actual quantity X Actual price d. standard quantity X actual price -------------------...

uestion 1 – Breakeven Chart with Increases in Fixed Costs (a) Identify and discuss briefly five...

uestion 1 – Breakeven Chart with Increases in Fixed Costs (a) Identify and discuss briefly five assumptions underlying cost-volume-profit analysis. (b) A local authority, whose area include a holiday resort situated on the east coast, operates, for 30 weeks each year, a holiday home which is let to visiting parties of children in care from other authorities. The children are accompanied by their own house mothers who supervise them throughout their holiday. From six to fifteen guests are...

Question 1 – Breakeven Chart with Increases in Fixed Costs (a) Identify and discuss briefly five...

Question 1 – Breakeven Chart with Increases in Fixed Costs (a) Identify and discuss briefly five assumptions underlying cost-volume-profit analysis. (b) A local authority, whose area include a holiday resort situated on the east coast, operates, for 30 weeks each year, a holiday home which is let to visiting parties of children in care from other authorities. The children are accompanied by their own house mothers who supervise them throughout their holiday. From six to fifteen guests are...

Explain the difference/s between the terms of the ‘breakeven point’ and ‘living costs‘ for small business...

Explain the difference/s between the terms of the ‘breakeven point’ and ‘living costs‘ for small business owners. And the impact of the cost of living on the breakeven point.

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