Maurice Tutor

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Category > Accounting Posted 11 Aug 2017 My Price 8.00

Blue Company

1.At a sales level of $97,000, Blue Company's contribution margin is $17,000. If the degree of operating leverage is 8 at a $97,000 sales level, net operating income must equal:

 

2. Kendall Company has sales of 1,600 units at $50 a unit. Variable expenses are 35% of the selling price. If total fixed expenses are $42,000, the degree of operating leverage is:

 

3.

The following data pertain to last month's operations:

 

Selling price $ 30 per unit
Variable production cost $ 7 per unit
Fixed production cost $78,000  
Variable selling & admin. expenses $ 8 per unit
Fixed selling & admin. expenses $34,000  


The break-even point in dollars is:

Answers

Maurice Tutor
(5)
Status NEW Posted 11 Aug 2017 10:08 PM My Price 8.00

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