Accounting Questions
Not what you're looking for?
2) INSTRUCTIONS: Solve the following problems and record the answers in the Answers column.
0. If total direct labor costs are $100,000 for 25,000 units of production, the per-unit direct labor cost is
1-3. Fixed costs for Flag Stamp Co. are $250,000. The selling price per unit is $20.00, and variable costs are $15.00.
1. The break-even sales (units) are
2. The sales units required to yield a target operating income of $350,000 would be
3. The contribution margin ratio is
4. If sales are $560,500, the unit selling price is $20, and the sales at the break-even point are $426,000, the margin of safety as a percent of sales is
5-6. The contribution margin for Williamson Co. is $160,000, and the operating income is $20,000.
5. Williamson's operating leverage is
6. If Williamson's sales increase by 15%, operating income will
7-8. The data for the highest and lowest levels of a firm's production are
as follows:
Units Produced Total Costs
Highest level 11,000 $87,000
Lowest level 4,000 38,000
7. The variable cost per unit is
8. The estimated total cost to produce 8,000 units is
9-10. A firm manufactures two products, X and Y. The fixed costs are
$28,000, and the sales mix is 75% X and 25% Y. The unit selling price
and the unit variable cost for each product are as follows:
Unit Selling Price Unit Variable Cost
X $10 $ 4
Y 30 22
9. The break-even sales (units) for the above sales mix
10. The number of units of Y that would be sold at the break-even point is
Purchase this Solution
Solution Summary
This solution is comprised of solution to calculate the per-unit direct labor cost, break-even sales (units), sales units required to yield a target operating income of $350,000, contribution margin ratio, margin of safety as a percent of sales, Williamson's operating leverage, variable cost per unit, estimated total cost to produce 8,000 units, the break-even sales (units) for the above sales mix, and the number of units of Y that would be sold at the break-even point.
Solution Preview
2) INSTRUCTIONS: Solve the following problems and record the answers in the Answers column.
For
Answers Scoring
0. If total direct labor costs are $100,000 for 25,000 units of production, the per-unit direct labor cost is
$4.00 per unit
0. ____
1-3. Fixed costs for Flag Stamp Co. are $250,000. The selling price per unit is $20.00, and variable costs are $15.00.
1. The break-even sales (units) are 50,000 units 1. ____
2. The sales units required to yield a target operating income of $350,000 would be 120,000 units
2. ____
3. The contribution margin ratio is 0.25 3. ____
4. If sales are $560,500, the unit selling price is $20, and the sales at ...
Purchase this Solution
Free BrainMass Quizzes
Learning Lean
This quiz will help you understand the basic concepts of Lean.
Cost Concepts: Analyzing Costs in Managerial Accounting
This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.
MS Word 2010-Tricky Features
These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.
Paradigms and Frameworks of Management Research
This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.
Introduction to Finance
This quiz test introductory finance topics.