Question

#### All Subjects Finance Finance

Offered Price \$20.00

# GB519: Measurement and Decision Making unit 3 homework

Question # 00001833
Subject: Finance
Due on: 10/30/2013
Posted On: 10/02/2013 03:56 PM

Rating:
4.1/5
Posted By
Questions:
4805
Tutorials:
6566
Feedback Score:

Question

9-33 CVP Analysis

Lawn Master company, a manufacturer of riding lawn mowers, has a projected income for 2013 as follows:

Sales 46,000,000

Operating expenses:

Variable expenses \$32,200,000

Fixed expenses \$7,500,000

Total expenses 39,700,000

Operating profit \$6,300,000

9-33 questions:

1. Determine the breakeven point in sales dollars.

2. Determine the required sales in dollars to earn a before tax profit of \$8,000,000.

3. What is the breakeven point in sales dollars if the variable cost increases by 12%?

10-55

Kelly Company is a retail sporting goods store. Facts regarding Kelly's operations are as follows:

- Sales, all on account, are budgeted at \$220,000 for December and \$200,000 for January.

- Collections are expected to be 60% in the month of sale an= d 38% in the month following the sale.

-Gross margin is 25% of sales.

- A total of 80% of the merchandise sold in a month is purchased in the month prior to the month of sale and 20% is purchased in the mo= nth of sale. Payment for purchased merchandise is made in the month following the purchase.

- Other expenses [selling and administrative] to be paid in = cash each month are \$22,600.

- Annual depreciation is \$216,000, one-twelfth of which= is reflected as part of monthly operating expenses.

Kelly Company's statement of financial position at the close of business on November 30 as follows:

Kelly Company

Statement of Financial Position

November 30, 2013

Assests

Cash = \$22,000

Accounts receivable(net of \$4,000 = 76,000

Allowance for doubtful accounts)

Inventory = 132,000

Property, plant, and equipment(net of \$680,000 accumulated depreciation) 870,000=

Total Assets \$1,100,= 000

Liabilities and Stockholders Equity

Accounts payable \$162,000

Common stock = 800,000

Retaining earnings = 138,000

Total liabilities and equity = \$1,100,000

Tutorials for this Question
Available for
\$20.00

#### GB519: Measurement and Decision Making unit 3 homework

Tutorial # 00001677
Posted On: 10/02/2013 03:57 PM
Posted By:
mac123
Questions:
4805
Tutorials:
6566
Feedback Score:
Tutorial Preview …Measurement…
Attachments
gb519_Week_3.xlsx (10.29 KB)
Preview: the xxxxxxx provided xxx solve for xxxxx = Contribution xxxxxx *X- xxxxxxxxxxxx xxxxxxxxx 3 xxxxx evens Sales x 25,000000 2 xxxxxxxxx the xxxxxxxx xxxxx in xxxxxxx to earn x before tax xxxxxx of xxxxxxxxxx xxxxx = xxxxx cost+ Required xxxxxx =\$7,500,000+ \$8,000,000 xxxxxxxxxxxx What xx xxx breakeven xxxxx in sales xxxxxxx if the xxxxxxxx cost xxxxxxxxx xx.....
* - Additional Paypal / Transaction Handling Fee (3.9% of Tutorial price + \$0.30) applicable
Loading...