In: Finance
Cost-Volume-Profit Relations: Missing Data
Following are data from 4 separate companies. Supply the missing
data in each independent case.
Case 1 | Case 2 | Case 3 | Case 4 | |
---|---|---|---|---|
Sales revenue | $100,000 | $90,000 | Answer | Answer |
Contribution margin | $40,000} | Answer | $20,000 | Answer |
Fixed Costs | $24,000 | Answer | Answer | Answer |
Net income | Answer | $7,000 | $9,000 | Answer |
Variable cost ratio | Answer | 0.50 | Answer | 0.20 |
Contribution margin ratio | Answer | Answer | 0.40 | Answer |
Break-even point (dollars) | Answer | Answer | Answer | $20,000 |
Margin of safety (dollars) | Answer | Answer | Answer | $30,000 |
Case 1 | 2 | 3 | 4 | |
Sales | 100,000 | 90,000 | 50,000 | 50,000 |
Contribution margin | 40,000 | 45,000 | 20,000 | 40,000 |
Fixed costs | 24,000 | 38,000 | 11,000 | 16,000 |
net income | 16,000 | 7,000 | 9,000 | 24,000 |
VC ratio | 60% | 50% | 60% | 20% |
CMR | 40% | 50% | 40% | 80% |
BEP | 60,000 | 76,000 | 27,500 | 20,000 |
MOS | 40,000 | 14,000 | 22,500 | 30,000 |