Problem 4 MAS Company's break-even sales are P528, 000 The variable costs ratio to sales is 60%, while the net income percentage to sales is 8%. Based in the above data, compute for the followin 1. Margin of Safety Ratio 2. Actual Sales 3. Margin on Safety 4. Fixed Costs 5. Net Income
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- Benovan Co. reports the following data: Sales (@ unit selling price of P20) Less Variable Costs Contribution Margin Less Fixed Costs Operating Profit P 840,000 546.000 P 294,000 168.000 P 126,000 Rased on the above data, the following were determined by an accounting staff: ======== Sales Breakeven Sales in Breakeven Sales in units Volume UVC VC% UCM CM% DOL pesos The manager consulted you regarding the effects of the following changes on the company's breakeven sales in units, breakeven sales in pesos, Degree of Operating Leverage (DOL) and Operating Profit. Assuming all other factors remain the same, the following independent proposals were made: 1. Increase the sales volume by 25% New Sales Volume New BES in units New BES in Pesos New Operating Profit New DOL 2. Increase the fixed costs by 10% New DOL New Operating Profit New BES in Pesos New BES in units 3. Increase the unit variable costs to P14 New Operating Profit New DOL New BES in Pesos New BES in units Based on the three…godo subject-Accounting The following information pertains to Venus Company's cost-volume-profit relationships: Break-even point in units sold = 1,000; Variable costs per unit = GHC500; Total fixed costs = GH¢150,000. How much will be contributed to profit before taxes by the 1,001st unit sold?Margin of Safety a. If Canace Company, with a break-even point at $631,800 of sales, has actual sales of $780,000, what is the margin of safety expressed (1) in dollars and (2) as a percentage of sales? Round the percentage to the nearest whole number. 1. $ 2. % b. If the margin of safety for Canace Company was 30%, fixed costs were $1,593,900, and variable costs were 70% of sales, what was the amount of actual sales (dollars)? (Hint: Determine the break-even in sales dollars first.)$
- Page 4.1 NUBD Co.’s break-even sales are P528,000. The variable costs ratio to sales is 60%, while the net income percentage is 8%. Compute for the: a. Net income. b. Degree of operating leverageALTHEXA companyThis problem contains 4 questions.ALTHEXA company has the following costs and revenue data for the current year: Selling price per unit P 10.50 Variable costs per unit 5.04 Total fixed costs P513,240 Operating income/(loss)before tax (10,920) Income tax rate 40% Net income or loss after tax if company has P1,155,000 in sales revenue.Margin of Safety a. If Canace Company, with a break-even point at $463,600 of sales, has actual sales of $610,000, what is the margin of safety expressed (1) in dollars and (2) as a percentage of sales? Round the percentage to the nearest whole number. 1. $ 2. % b. If the margin of safety for Canace Company was 30 %, fixed costs were $1,236,900, and variable costs were 70% of sales, what was the amount of actual sales (dollars)? (Hint: Determine the break-even in sales dollars first.) Previous Check My Work 2 more Check My Work uses remaining.
- The following information is extracted from the income statement of Al Shams Private Ltd. The Price (P) per unit of product is OMR 12 and Variable cost (VC) per unit is OMR 7 and fixed operating cost is OMR 8,000.Answer the following question after analyzing the given table. YEAR 1 YEAR 2 Sales (in units) 5,000 9,500 Sales Revenue (in OMR) ? ? Less: Variable operating costs ? ? Less: Fixed operating costs 8,000 ? Earnings before interest and taxes (EBIT) ? ? Complete the table Calculate the Degree of Operating Leverage (DOL). Interpret your answer (DOL).The following pertained to Lomi Inc.: Product Sales Price Unit Variable Cost Projected sales A P50 P34 5,000 units B 20 15 25,000 units C 25 16 20,000 units Fixed costs amounted to P154,000. Instructions: 2. Describe its net income if the sales mix will be based on peso sales. Why is the result not applicable in aiding management in decision-making?Gojo Company's break- even sales are P528,000. The variable cost ratio is 60% while the profit ratio is 8%. Compute for the following: a. Fixed cost b. Sales c. Profit d. Margin of Safety e. Degree of operating leverage
- NUBD Co.'s break even sales are P528,000. The variable costs ratio to sales is 60%, while the net income percentage is 8%. Compute the following: 1. Margin of safety ratio 2. Actual sales in pesos 3. Margin of safety in pesos. 4. Fixed costs 5. Net Income 6. Degree of operating leverageratios for Jtly. 2. From the following figures calculate a. P/V Ratio b. Break Even Point c. Sales to earn a profit of Rs. 1,20,000 Sales = 6,00,000 Variable Cost 3,75,000 Fixed Cost = 180,000 3. Describe how Management Control System is the means to analyses and control theMargin of Safety a. If Del Rosario Company, with a break-even point at $415,800 of sales, has actual sales of $540,000, what is the margin of safety expressed (1) in dollars and (2) as a percentage of sales? Round the percentage to the nearest whole number. 1. $ 2. b. If the margin of safety for Del Rosario Company was 35%, fixed costs were $1,931,475, and variable costs were 65% of sales, what was the amount ofF actual sales (dollars)? (Hint: Determine the break-even in sales dollars first.)
