Maurice Tutor

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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 19 Aug 2017 My Price 9.00

Diamond Jim

12.    LO.2 (Break-even point) Diamond Jim’s makes and sells class rings for local schools. Operating information is as follows:

 

Selling price per ring Variable cost per ring Rings and stones

$600

 

$220

Sales commissions

48

Overhead Annual fixed cost

32

Selling expenses

$180,000

Administrative  expenses

105,000

Manufacturing

60,000

 

a.     What is Diamond Jim’s break-even point in rings?

b.    What is Diamond Jim’s break-even point in sales dollars?

c.     What would Diamond Jim’s break-even point be if sales commissions increased to

$54?

d.    What would Diamond Jim’s break-even point be if selling expenses decreased by

$6,000?

Answers

Maurice Tutor
(5)
Status NEW Posted 19 Aug 2017 12:08 AM My Price 9.00

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