- Flashco Manufacturing Manufactures 256gb Sd Cards Memory Cards For Mobile Phones Digital Cameras And Other Devices 1 (45.63 KiB) Viewed 18 times
Requirement 2. What would the company's monthly operating income be if the company sold 150,000 units? Use the following table to compute the operating income if 150,000 units are sold. Less: Requirement 3. What would the company's monthly operating income be if the company had sales of $4,500,000? Use the following table to compute the operating income with sales totaling $4,500,000. (Enter the contribution margin ratio to the nearest whole percent. % Less: Data table 20.00 Sales price per unit: (current monthly sales volume is 120,000 units) .... $ Variable costs per unit: Direct materials $ 7.40 Direct labor $ 5.00 Variable manufacturing overhead $ 2.20 $ 1.40 Variable selling and administrative expenses Monthly fixed expenses: Fixed manufacturing overhead $ 191,400 Fixed selling and administrative expenses $ 276,600 Print Done X
Requirement 4. What is the breakeven point in units? In sales dollars? Begin by identifying the formula. (
= (Round the breakeven point in units up to the nearest whole unit.) The company's breakeven point is units. What is the breakeven point in sales dollars? Begin by identifying the formula. (Round the breakeven point in sales dollars up to the nearest whole dollar.) The breakeven pointi dollars is Breakeven sales in units = Breakeven sales in dollars Data table 20.00 Sales price per unit: (current monthly sales volume is 120,000 units) .... $ Variable costs per unit: Direct materials $ 7.40 Direct labor $ 5.00 Variable manufacturing overhead $ 2.20 $ 1.40 Variable selling and administrative expenses Monthly fixed expenses: Fixed manufacturing overhead $ 191,400 $ Fixed selling and administrative expenses 276,600 XRequirement 5. How many units would the company have to sell to earn a target monthly profit of $260,000? Begin by identifying the formula. Target sales in units (Round your answer up to the nearest whole unit.) units. In order to earn a monthly profit of $260,000, the company must sell Requirement 6. Management is currently contract negotiations with the labor union. If the negotiations fail, direct labor costs will increase by 10%, and your answer up to the nearest whole number.) The new breakeven point is units. Requirement 7. Return to the original data for this question and the rest of the questions. What is the company's current operating leverage factor (round Begin by identifying the formula. Operating leverage factor (Round your answer to two decimal places.) The operating leverage factor is Data table $ 20.00 Sales price per unit: (current monthly sales volume is 120,000 units) Variable costs per unit: Direct materials S 7.40 Direct labor $ 5.00 Variable manufacturing overhead $ 2.20 $ 1.40 Variable selling and administrative expenses Monthly fixed expenses: Fixed manufacturing overhead $ 191,400 Fixed selling and administrative expenses............... $ 276,600 Print Done X sell each month to break even? (Round
Requirement 8. If sales volume increases by 8%, by what percentage will operating income increase? (Round the percentage to one decimal place.) The operating income will increase by %. Requirement 9. What is the company's current margin of safety in sales dollars? What is its margin of safety as a percentage of sales? Begin by identifying the formula. Margin of safety in dollars The current margin of safety in sales dollars is What is its margin of safety as a percentage of sales? Begin by identifying the formula. Margin of safety percentage (Round the percentage to the nearest whole percent.) The margin of safety as a percentage of sales is % Data table $ Sales price per unit: (current monthly sales volume is 120,000 units) ... Variable costs per unit: Direct materials $ Direct labor $ Variable manufacturing overhead $ $ Variable selling and administrative expenses Monthly fixed expenses: Fixed manufacturing overhead $ $ Fixed selling and administrative expenses - X 20.00 7.40 5.00 2.20 1.40 191,400 276,600
Requirement 10. Say the company adds a second size of SD card (512GB in addition to 256GB). A 512GB SD card will sell for $45 and have variable co of each type of SD card will the company need to sell to reach its target monthly profit of $260,000? Is this volume higher or lower than previously needed Data table Begin by computing the weighted-average contribution margin per unit. (Round all amounts to the nearest cent, SX.XX.) 256 GB 512 GB Total Less: Weighted average contribution margin per unit Given this sales mix, how many of each type of SD card will the company need to sell to reach its target monthly profit of $260,000? (Round new target s The new target sales in units is The company will need to sell units of the 256GB SD cards and units of the 512GB SD cards. Is this volume higher or lower than previously needed (in Question 5) to achieve the same target profit? Why? The target sales is before because now the company is selling a product with unit contribution margin. Sales price per unit: (current monthly sales volume is 120,000 units) Variable costs per unit: Direct materials Direct labor... Variable manufacturing overhead Variable selling and administrative expenses Monthly fixed expenses: Fixed manufacturing overhead Fixed selling and administrative expenses Print Done $ $ S $ $ $ $ 20.00 7.40 5.00 2.20 1.40 191,400 276,600 X O cards. Given this sales mix, how many hole unit.)