Question
In: Accounting
Wildhorse, Inc., sells two types of water pitchers, plastic and glass. Plastic pitchers cost the company...
Wildhorse, Inc., sells two types of water pitchers, plastic and glass. Plastic pitchers cost the company $35 and are sold for $50. Glass pitchers cost $44 and are sold for $65. All other costs are fixed at $3,095,820 per year. Current sales plans call for 44,100 plastic pitchers and 132,300 glass pitchers to be sold in the coming year.
Wildhorse, Inc., has just received a sales catalog from a new supplier that is offering plastic pitchers for $33. What would be the new contribution margin per unit if managers switched to the new supplier?
|
Plastic pitchers |
Glass pitchers |
|||
| Contribution margin per unit | $ | $ |
What would be the new breakeven point if managers switched to the
new supplier? (Use contribution margin per unit to
calculate breakeven units. Round answers to 0 decimal places, e.g.
25,000.)
|
Plastic pitchers |
Glass pitchers |
|||
| Breakeven in Units |
Solutions
ekkarill92 answered 2 years agoRelated Solutions
Sheridan, Inc., sells two types of water pitchers, plastic and glass. Plastic pitchers cost the company...
Sheridan, Inc., sells two types of water pitchers, plastic and
glass. Plastic pitchers cost the company $19 and are sold for $34.
Glass pitchers cost $28 and are sold for $49. All other costs are
fixed at $3,429,972 per year. Current sales plans call for 48,860
plastic pitchers and 146,580 glass pitchers to be sold in the
coming year.
How many pitchers of each type must be sold to break even in the
coming year? (Use contribution margin per unit...
Kitchenware, Inc., sells two types of water pitchers, plastic and glass. Plastic pitchers cost the company...
Kitchenware, Inc., sells two types of water pitchers, plastic
and glass. Plastic pitchers cost the company $15 and are sold for
$30. Glass pitchers cost $24 and are sold for $45. All other costs
are fixed at $982,800 per year. Current sales plans call for 14,000
plastic pitchers and 42,000 glass pitchers to be sold in the coming
year.
a. How many pitchers of each type must be sold to break even in
the coming year?
b. Kitchenware, Inc., has...
Cool Water, Inc. sells bottled water. The firm keeps in inventory plastic bottles at 12% of...
Cool Water, Inc. sells bottled water. The firm keeps in
inventory plastic bottles at 12% of the monthly projected sales.
These plastic bottles cost $0.004 each. The monthly sales for the
first four months of the coming year are as follows:
January: 1,900,000
February: 2,200,000
March: 2,700,000
April: 3,100,000
What is the monthly increase or decrease in cash flow for
inventory given that an increase is a use of cash and a decrease is
a source of cash? Note: Enter...
Cost of Goods Sold Budget Delaware Chemical Company uses oil to produce two types of plastic...
Cost of Goods Sold Budget
Delaware Chemical Company uses oil to produce two types of
plastic products, P1 and P2. Delaware budgeted 17,300 barrels of
oil for purchase in June for $68 per barrel. Direct labor budgeted
in the chemical process was $129,400 for June. Factory overhead was
budgeted at $211,800 during June. The inventories on June 1 were
estimated to be:
Oil
$9,100
P1
6,100
P2
5,200
Work in process
7,500
The desired inventories on June 30 were:
Oil...
Cost of Goods Sold Budget Wilmington Chemical Company uses oil to produce two types of plastic...
Cost of Goods Sold Budget
Wilmington Chemical Company uses oil to produce two types of
plastic products, P1 and P2. Wilmington budgeted 16,200 barrels of
oil for purchase in June for $65 per barrel. Direct labor budgeted
in the chemical process was $126,400 for June. Factory overhead was
budgeted $189,500 during June. The inventories on June 1 were
estimated to be:
Oil
$8,800
P1
5,900
P2
5,100
Work in process
7,300
The desired inventories on June 30 were:
Oil
$9,700...
Cost of Goods Sold Budget Delaware Chemical Company uses oil to produce two types of plastic...
Cost of Goods Sold Budget
Delaware Chemical Company uses oil to produce two types of
plastic products, P1 and P2. Delaware budgeted 28,200 barrels of
oil for purchase in June for $76 per barrel. Direct labor budgeted
in the chemical process was $235,800 for June. Factory overhead was
budgeted at $385,800 during June. The inventories on June 1 were
estimated to be:
Oil
$16,500
P1
11,100
P2
9,400
Work in process
13,700
The desired inventories on June 30 were:
Oil...
Cost of Goods Sold Budget Universal Chemical Company uses oil to produce two types of plastic...
Cost of Goods Sold Budget
Universal Chemical Company uses oil to produce two types of
plastic products, P1 and P2. Universal budgeted 22,600 barrels of
oil for purchase in April for $72 per barrel. Direct labor budgeted
in the chemical process was $179,000 for April. Factory overhead
was budgeted $292,900 during April. The inventories on April 1 were
estimated to be:
Oil
$12,500
P1
8,400
P2
7,200
Work in process
10,400
The desired inventories on April 30 were:
Oil
$13,800...
Cost of Goods Sold Budget Wilmington Chemical Company uses oil to produce two types of plastic...
Cost of Goods Sold Budget
Wilmington Chemical Company uses oil to produce two types of
plastic products, P1 and P2. Wilmington budgeted 26,000 barrels of
oil for purchase in June for $67 per barrel. Direct labor budgeted
in the chemical process was $209,000 for June. Factory overhead was
budgeted $313,600 during June. The inventories on June 1 were
estimated to be:
Oil
$14,600
P1
9,800
P2
8,400
Work in process
12,100
The desired inventories on June 30 were:
Oil
$16,100...
Cost of Goods Sold Budget Wilmington Chemical Company uses oil to produce two types of plastic...
Cost of Goods Sold Budget
Wilmington Chemical Company uses oil to produce two types of
plastic products, P1 and P2. Wilmington budgeted 31,900 barrels of
oil for purchase in June for $63 per barrel. Direct labor budgeted
in the chemical process was $221,100 for June. Factory overhead was
budgeted $361,700 during June. The inventories on June 1 were
estimated to be:
Oil
$15,500
P1
10,400
P2
8,800
Work in process
12,800
The desired inventories on June 30 were:
Oil
$17,000...
Cost of Goods Sold Budget Delaware Chemical Company uses oil to produce two types of plastic...
Cost of Goods Sold Budget
Delaware Chemical Company uses oil to produce two types of
plastic products, P1 and P2. Delaware budgeted 23,400 barrels of
oil for purchase in June for $70 per barrel. Direct labor budgeted
in the chemical process was $180,200 for June. Factory overhead was
budgeted at $294,800 during June. The inventories on June 1 were
estimated to be:
Oil
$12,600
P1
8,500
P2
7,200
Work in process
10,500
The desired inventories on June 30 were:
Oil...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- 3) You are rolling a 12 sided die 8 times. a) What is the size for...
- explain the difference between quantitative and qualitative research strategies. Provide an example of a crime based...
- use postorder and inorder tree traversals to make preorder traversal. #!/usr/bin/env python3 # encoding: UTF-8 """Turning...
- 1. Write an if-else statement to describe an object. Print "Balloon" if isBalloon is true and...
- An investor is considering purchasing a Treasury bond with a 20 year maturity, an 8% coupon...
- Write a program that copies the contents of one file to a destination file. This program...
- how to conduct a marketing mix for 3d crest white strips
ADVERTISEMENT