Genifax reported the following information for September: Sales revenue $180,000 Fixed manufacturing costs 22,000 Fixed marketing and overhead costs 14,000 Total variable costs 120,000 Unit price 9 (Problem must be solved using the Contribution Margin approach.) a. Determine the unit sales required to break even. Unit sales units b. What unit sales would generate a net income of $30,000? Unit sales units c. What unit sales would generate a profit of 20% of the sales revenue? Unit sales units d. What sales revenue is required to produce a profit of $20,000? (Round your answer to the nearest hundred dollars.) Sales revenue $ e. If unit variable costs are reduced by 10% with no change in the fixed costs, what will be the unit sales to break even? Unit sales units
Genifax reported the following information for September: Sales revenue $180,000 Fixed manufacturing costs 22,000 Fixed marketing and overhead costs 14,000 Total variable costs 120,000 Unit price 9 (Problem must be solved using the Contribution Margin approach.) a. Determine the unit sales required to break even. Unit sales units b. What unit sales would generate a net income of $30,000? Unit sales units c. What unit sales would generate a profit of 20% of the sales revenue? Unit sales units d. What sales revenue is required to produce a profit of $20,000? (Round your answer to the nearest hundred dollars.) Sales revenue $ e. If unit variable costs are reduced by 10% with no change in the fixed costs, what will be the unit sales to break even? Unit sales units
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter7: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 29BEB: Sales Needed to Earn Target Income Chillmax Company plans to sell 3,500 pairs of shoes at 60 each in...
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(answer in text form please (without image), Note: provide correct answer and Every entry should have narration please)
![Genifax reported the following information for September:
Sales revenue
$180,000
Fixed manufacturing costs
22,000
Fixed marketing and overhead costs
14,000
Total variable costs
120,000
Unit price
9
(Problem must be solved using the Contribution Margin approach.)
a. Determine the unit sales required to break even.
Unit sales
units
b. What unit sales would generate a net income of $30,000?
Unit sales
units
c. What unit sales would generate a profit of 20% of the sales revenue?
Unit sales
units
d. What sales revenue is required to produce a profit of $20,000? (Round your answer to the nearest hundred dollars.)
Sales revenue
$
e. If unit variable costs are reduced by 10% with no change in the fixed costs, what will be the unit sales to break even?
Unit sales
units](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F1cef72f3-38db-457a-b352-b841ba871caf%2Fe043c455-c909-4638-99c7-ae4806ef6181%2Fgi3u6kd_processed.png&w=3840&q=75)
Transcribed Image Text:Genifax reported the following information for September:
Sales revenue
$180,000
Fixed manufacturing costs
22,000
Fixed marketing and overhead costs
14,000
Total variable costs
120,000
Unit price
9
(Problem must be solved using the Contribution Margin approach.)
a. Determine the unit sales required to break even.
Unit sales
units
b. What unit sales would generate a net income of $30,000?
Unit sales
units
c. What unit sales would generate a profit of 20% of the sales revenue?
Unit sales
units
d. What sales revenue is required to produce a profit of $20,000? (Round your answer to the nearest hundred dollars.)
Sales revenue
$
e. If unit variable costs are reduced by 10% with no change in the fixed costs, what will be the unit sales to break even?
Unit sales
units
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