Fill in the missing amounts in each of the eight case situations below. Each cas

Question

Fill in the missing amounts in each of the eight case situations below. Each case is independent of the others. (Hint: One way to find the missing amounts would be to prepare a contribution format income statement for each case, enter the known data, and then compute the missing items.) Required Assume that only one product is being sold in each of the four following case situations Case #1 Case #2 Case #3 Case #4 21,000 4,400 Unit sold Sales Variable expenses Fixed expenses Net operating income (loss) Contribution margin per unit 8,900 $231,400$ 372,500 $ 132,000 133,500 210,000 82,000 178,000 76,000 800146,000 $(23,200) 12 S b. Assume that more than one product is being sold in each of the four following case situations Case #1 Case #2 Case #3 Case #4 $ 299,000 Sales Variable expenses Fixed expenses Net operating income (loss) Average contribution margin ratio (percent) $ 450,000$ 194,000 128,040 54,000 92,690 470,000 80,500 43% S 120,520(13,690) 84%

Explanation / Answer

a) Case#1 Case#2 Case#3 Case#4 Unit sold 8,900 14,900 21,000 4,400 Sales 231,400 372,500 441,000 132,000 Variable expense 133,500 193,700 210,000 79,200 Fixed expense 50,000 178,000 85,000 76,000 Net operating income(loss) 47,900 800 146,000 -23,200 contribution margin per unit 11 12 11 12 Contribution = sales - variable expenses Sales - variable expense - fixed expense = net operating income Contribution margin per unit = contribution/units sold b) Case#1 Case#2 Case#3 Case#4 Sales 450,000 194,000 703,000 299,000 Variable expense 256,500 128,040 112,480 92,690 Fixed expense 113,000 54,000 470,000 220,000 Net operating income(loss) 80,500 11,960 120,520 -13,690 Average contribution margin ratio 43% 34% 84% 69%

Related Questions

Navigate

• Browse (All)
• Browse F
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.