Mathematics, 08.11.2021 14:00, anjali9788
Vanna Co. produces and sells two products, T and O. It manufactures these products in separate factories and markets them through different channels. They have no shared costs. This year, the company sold 50,000 units of each product. Sales and costs for each product follow. Product T Product O Sales $2,000,000 $2,000,000 Variable Costs 1,600,000 250,000 Contribution Margin 400,000 1,750,000 Fixed Costs 125,000 1,475,000 Income Before Taxes 275,000 275,000 Income Taxes (32% rate) 88,000 88,000 Net Income $187,000 $187,000 a. Compute the break-even point in dollar sales for each product. (Round the answer to whole dollars). ACG 3024 Chapter 12 Canvas Assignment b. Assume that the company expects sales of each product to decline to 30,000 units next year with no change in unit sales price. Prepare forecasted financial results for next year following the format of the contribution margin income statement shown above with the same tax rate. Product T Product O Sales Variable Costs Contribution Margin Fixed Costs Income Before Taxes Income Taxes (32% rate) Net Income c. Assume that the company expects sales of each product to increase to 60,000 units next year with no change in unit sales price. Prepare forecasted financial results for next year following the format of the contribution margin income statement shown above with the same tax rate. Product T Product O Sales Variable Costs Contribution Margin Fixed Costs Income Before Taxes Income Taxes (32% rate) Net Income d. If sales greatly decrease, which product would experience a greater loss? Explain.
Answers: 1
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The distance between two points is 6.5cm and scale of map is 1: 1000 what's the distance between the two points
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Vanna Co. produces and sells two products, T and O. It manufactures these products in separate facto...
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