Texas-Q Company produces and sells barbeque grills. Texas-Q sells three models: a small portable gas grill, a larger stationary gas grill, and the specialty smoker. In the coming year, Texas-Q expects to sell 19,200 portable grills, 52,800 stationary grills, and 4,800 smokers. Information on the three models is as follows:
| Portable | Stationary | Smokers | |
|---|---|---|---|
| Price | $87 | $198 | $252 |
| Variable cost | |||
| per unit | 43 | 133 | 145 |
Total fixed cost is $2,145,700.
| Required: | |
| 1. | What is the sales mix of portable grills to stationary grills to smokers? |
| 2. | Compute the break-even quantity of each product. |
| 3. | Prepare an income statement for Texas-Q for the coming year. What is the overall contribution margin ratio? Use the contribution margin ratio to compute overall break-even sales revenue. Enter the contribution margin ratio as a percentage rounded to two decimal places; round the break-even sales revenue to the nearest dollar. |
| 4. | Compute the margin of safety for the coming year. |
Sales Mix and Breakeven
1. What is the sales mix of portable grills to stationary grills to smokers?
2. Compute the break-even quantity of each product.
| Break-Even Portable Grills | |
| Break-Even Stationary Grills | |
| Break-Even Smokers |
3(a) What is the overall contribution margin ratio? Use the contribution margin ratio to compute overall break-even sales revenue. Enter the contribution margin ratio as a percentage rounded to two decimal places; round the break-even sales revenue to the nearest dollar.
| Contribution Margin Ratio | % |
| Break-Even Revenue |
Contribution Margin Income Statement
3(b) Prepare an income statement for Texas-Q for the coming year. Refer to the list of Amount Descriptions for the exact wording of text items within your income statement.
|
Texas-Q Company |
|
Income Statement |
|
For the Coming Year |
|
1 |
||
|
2 |
||
|
3 |
||
|
4 |
||
|
5 |
Margin of Safety
4. Compute the margin of safety for the coming year.
The margin of safety for the coming year is .
In: Accounting
1. Research has shown that for a company’s toy truck every increase of $0.10 in the price will
result in 200 fewer sales. At one point, when the price was $2.35, the company sold 18,500
trucks. A reasonable employee of the company wondered aloud what price would maximize
the revenue generated by the sale of the trucks for the company.
a.) Determine the formula of the function N(x) that gives the number of trucks sold when
the price is x dollars. Draw a graph of the function N(x).
b.) Determine the formula for the function R(x) that gives the revenue generated when
the price is x dollars. Graph y=R(x).
c.) Determine algebraically the price that yields the maximum revenue. How much
revenue is generated? How many trucks are sold at this price?
d.) Let’s say that the company wants to sell 20,000 trucks. How much should they
charge and how much revenue is generated?
e.) What is the average rate of change in revenue from x=$2.50 to x=$2.85? What is the
average rate of change from x=$3.00 to $3.25? What units are associated with the
average rate of change? Interpret each average rate of change in the context of the
given situation. What do these average rates of change tell you about the shape of the
graph of R(x)?
In: Accounting
Integrated Physicians & Associates, an investor-owned
company,
had the following general ledger account balances at the end
of
2015: Gross patient service revenue (total charges)
Contractual
discounts and allowances to third-party payers Charges for
charity
(indigent) care Estimated provision for bad debts $975,000
250,000
100,000 50,000 a. Construct the revenue section of Integrated
Physicians & Associates’ income statement for the year
ended
December 31, 2015. Suppose the 2015 contractual discounts and
allowances balance reported above is understated by $50,000.
In
other words, the correct balance should be $300,000. Assuming a
40
percent income tax rate, what would be the effect of the
misstatement on Integrated Physicians & Associates’ 2015
reported: 1. Net patient service revenue? 2. Total expenses,
including income tax expense? 3. Net income? For each item
(1–3),
indicate whether the balance is overstated, understated, or
not
affected by the misstatement. If overstated or understated,
indicate by how much
In: Accounting
ON Amazon:
Key Goods or Services/Features: Describe the key goods and services your selected organization provides. Include information about where, why, and for whom they are provided. Separate the financial interest of the company into financial and nonfinancial features. For example: Are they a manufacturer offering their own financing to customers? Is the company currently facing any financial woes? Explain how these features of the organization (e.g., major products or services, customers, location) help set the boundaries for business decisions.
In: Finance
Kike Ltd is a retailer dominance of the athletic shoe and sporting apparel businesses. Kike Ltd, which currently views itself as operating in the sporting wear (shoes and clothes) segment, is considering an expansion into the fashion apparel business, producing high-priced casual clothing for teenagers and young adults. The Company therefore, is contemplating building another new retail store across the town. Followings are information on this expansion. The company already owns the land for this store, which currently has an abandoned warehouse located on it. The land cost at $350,000 and has a useful life of 10 years. Kike Ltd bought this land 5 years ago. The cost of $45,000 for demolishing the abandoned warehouse and clearing the lot. The marketing department spent $20,000 on market research to determine the extent of customer demand of the new segment for the new store. The construction of the new store would cost $500,000, with 5-year life and depreciated using straight line method. The loss of 30% sales in the existing retail outlet (old segment), if customers who previously drove across town to shop at the existing outlet (old segment) become customers of the new store (new segment) instead. Kike Ltd issue bond at 6% to finance the construction cost. Assumes the cost of capital is 10% and tax rate is 27%. Kike Ltd is expecting the sales of the new segment which will be constant at $150,000 per year for 5 years. Required: Discuss should the land cost that has an abandoned warehouse be included as part of incremental earnings for the proposed of new segment. Would the value of land if sold be considered as opportunity cost? Discuss should the cost of $45,000 for demolishing the abandoned warehouse and clearing the lot and the marketing cost of $20,000 be included as part of incremental earnings for the proposed of new segment. Discuss in detail how the cost of the construction of the new store, $500,000, with 5-year life and depreciation using straight line method and the cost of issuing bond at 6% to finance the construction cost are treated as incremental earnings for the proposed of new segment. In the situation where the employees leave the new store sitting idle due to some unavoidable circumstances (such strike, natural disaster), should the cost in (c) is treated as opportunity cost? Discuss in details how this loss of 30% sales in the existing retail outlet (old segment), if customers who previously drove across town to shop at the existing outlet (old segment) become customers of the new store (new segment) instead will impact the incremental earnings for the proposed of new segment. Explain why it is advantageous for Kike to use the most accelerated depreciation method compared to straight line method. Is it realistic for Kike to forecast a constant sale for 5 years? (1 mark)
In: Finance
three different traffic routes are tested for mean driving time. the entries in the table below are the driving times in minutes on the three different routes. use an ANOVA to test the hypothesis. Route 1: 30, 32, 27, 35 Route 2: 27, 29, 28, 36 Route 3: 16, 41, 22, 31 1) find the numerator degrees of freedom 2) find the denominator degrees of freedom 3) find SS factor 4) find ss total 5) find the F statistic
In: Statistics and Probability
Answer the following question using the table below.
At what point does diminishing marginal utility set in?
If apples were freely given away at zero cost, how many apples would she choose to consume?
| Numbers of apples | TU | MU |
| 1 | 7 | 7 |
| 2 | 13 | 6 |
| 3 | 18 | 5 |
| 4 | 22 | 4 |
| 5 | 25 | 3 |
| 6 | 27 | 2 |
| 7 | 28 | 1 |
| 8 | 28 | 0 |
| 9 | 27 | -1 |
| 10 | 25 | -2 |
In: Economics
Please let me know how to make code sort.
If you put sort (sort 1000 6 5 4 3 2 1, not separate), you will get 1 2 3 4 5 6 1000.
sort 50 300 27 5
5 27 50 300
public static void main (String[] args) {
Scanner scnr = new
Scanner(System.in);
String a = "";
a =
scnr.nextLine();
String[] b =
imput.split(" ")
if (b[0].equalsI("sort")) {
}
Please do not change above code.
In: Computer Science
In: Finance
In: Economics