- Molander Corporation Is A Distributor Of A Sun Umbrella Used At Resort Hotels Data Concerning The Next Month S Budget A 1 (58.11 KiB) Viewed 9 times
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below: Selling price per unit Variable expense per unit Fixed expense per month Unit sales per month $ 27 $ 15 $ 10,680 1,040 Required: 1. What is the company's margin of safety? (Do not round intermediate calculations.) 2. What is the company's margin of safety as a percentage of its sales? (Round your percentage answer to 2 decimal places (i.e. .1234 should be entered as 12.34).) 1. Margin of safety (in dollars) 2. Margin of safety percentage %
Lindon Company is the exclusive distributor for an automotive product that sells for $20.00 per unit and has a CM ratio of 30%. The company's fixed expenses are $93,000 per year. The company plans to sell 16,700 units this year. Required: 1. What are the variable expenses per unit? (Round your "per unit" answer to 2 decimal places.) 2. What is the break-even point in unit sales and in dollar sales? 3. What amount of unit sales and dollar sales is required to attain a target profit of $33,000 per year? 4. Assume that by using a more efficient shipper, the company is able to reduce its variable expenses by $2.00 per unit. What is the company's new break-even point in unit sales and in dollar sales? What dollar sales is required to attain a target profit of $33,000? 1. Variable expense per unit 2. Break-even point in units 2. Break-even point in dollar sales 3. Unit sales needed to attain target profit 3. Dollar sales needed to attain target profit 4. New break-even point in unit sales 4. New break-even point in dollar sales 4. Dollar sales needed to attain target profit