3-b. Would the break-even point in May be higher or lower than the break-even point in April? Complete this question by entering your answers in the tabs below.Req 1AReq 1BReq 3AReq 3BWould the break-even point in May be higher or lower than the break-even point in April?HigherLower Carbex, Inc., produces cutlery sets out of high-quality wood and steel. The company makes a Standard set and a Deluxe set and sellsthem to retail department stores throughout the country. The Standard set sells for $100, and the Deluxe set sells for $115. The variableexpenses associated with each set are given below.Variable production costsSales commissions (35% of sales price)The company's fixed expenses each month are:AdvertisingDepreciationAdministrative$ 125,000$ 27,700$ 73,000AprilMayStandard$35.00$35.00Mary Parsons, the financial vice president, watches sales commissions carefully and has noted that they have risen steadily over thelast year. For this reason, she was shocked to find that even though sales have increased, profits for the current month-May-aredown substantially from April. Sales, in sets, for the last two months are given below:Standard De luxeTotal6,000 4,00010,0003,000 7,000 10,000Deluxe$50.00$ 40.25

The break-even point is one of the concepts used in understanding the relationship between profit,…

Answered: 3-b. Would the break-even point in May…

Business

Accounting

3-b. Would the break-even point in May be higher or lower than the break-even point in April?

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 5EA: Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of...

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Cadre, Inc., sells a single product with a selling price of $120 and variable costs per unit of $90. The companys monthly fixed expenses are $180,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of October when they will sell 10,000 units. How many units will Cadre need to sell in order to realize a target profit of $300,000? What dollar sales will Cadre need to generate in order to realize a target profit of $300,000? Construct a contribution margin income statement for the month of August that reflects $2,400,000 in sales revenue for Cadre, Inc.
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Kate’s Kale Chips produces a healthy snack made primarily of kale. Each bag of the product sells for $5. The company computes the manufacturing overhead rate on a quarterly basis based upon the planned number of units to be produced that quarter. The following data are from the projections of Kate’s Kale Chips for the upcoming quarter: Projections Sales 26,000 bags Production 28,000 bags Variable manufacturing cost per bag $ 3.20 Sales and distribution costs per bag $ 0.25 Total fixed manufacturing overhead $ 42,000 Fixed administrative overhead $ 24,000 Required: 1. Compute the projected product cost per bag produced under full costing. 2. Compute the projected product cost per bag under variable costing. (Round your answers to 2 decimal places.) Please dont provide answer in images thank you
Comer Company produces and sells strings of colorful indoor/outdoor lights for holiday display to retailers for $12.41 per string. The variable costs per string are as follows: Direct materials $1.87 Direct labor 1.70 Variable factory overhead 0.57 Variable selling expense 0.42 Fixed manufacturing cost totals $551,855 per year. Administrative cost (all fixed) totals $419,190. Comer expects to sell 247,000 strings of light next year. Required: 1. Calculate the break-even point in units.fill in the blank 1 units 2. Calculate the margin of safety in units.fill in the blank 2 units 3. Calculate the margin of safety in dollars.$fill in the blank 3
[The following information applies to the questions displayed below. Shadee Corporation expects to sell 600 sun shades in May and 800 in June. Each shade sells for $180. Shadee's beginning and ending finished goods inventories for May are 75 and 50 shades, respectively. Ending finished goods inventory for June will be 60 shades. Suppose that each shade takes three direct labor hours to produce and Shadee pays its workers $9 per hour. Additionally, Shadee's fixed manufacturing overhead is $10,000 per month, and variable manufacturing overhead is $13 per unit produced. Required: 1. Prepare Shadee's direct labor budget for May and June. 2. Prepare Shadee's manufacturing overhead budget for May and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare Shadee's direct labor budget for May and June. Budgeted Direct Labor Cost May Required 1 June Required 2 >