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3 years ago

Michael's Machine Shop reports the following information for the quarter.

Business

1 answer:

m_a_m_a [10]3 years ago

3 0

Answer:

Results are below.

Explanation:

First, we need to calculate the variable cost per unit:

Variable cost per unit= Materials + Labor + Plant supervision + Selling and administrative

Variable cost per unit= 18 + 15 + 8 + 9

Variable cost per unit= $50

Now, the fixed cost:

Fixed costs= Selling and administrative + Production

Fixed costs= 47,620 + 142,860

Fixed costs= $190,480

To calculate the break-even point in units, we need to use the following formula:

Break-even point in units= fixed costs/ contribution margin per unit

Break-even point in units= 190,480 / (70 -50)

Break-even point in units= 9,524

Finally, the expected sales:

expected sales= 23,810*70

expected sales= $1,666,700

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10 months ago

Donna is looking into investing a portion of her recent bonus into the stock market. While researching different companies, she

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3 years ago

Read 2 more answers

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As we know that

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3 years ago

You are thinking about the things that can go wrong on your trip home over the Thanksgiving break. You have booked a flight with

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Answer:

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Explanation:

a) Data and Calculations:

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3 years ago