accounting chapter 18

# accounting chapter 18 - 1,837,500 • Income...

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accounting chapter 18 19:07 Chapter 18 – Cost-Volume-Profit Analysis QS 18-6 o 90-36=54 contribuion margin o fixed costs \$162,000 o make 3000 units to break even Contribution/Sale price= Contribution ratio 162,000/60%= 270000 high low change in cost/ change in volume = Variable cost/unit high -35 low – 6 8100-3600 8100-3600/24-6= 4500/18=\$250/MH TC=FC+VC 8100= FC + 250/MH(24) FC=2100 TC=2100+250/MH(MH) 18-10 Sales (40,000 units at \$200 each)……………………. \$8,000,000 Variable Cost (40,000 units at \$140 each)………. 5,600,000 Contribution Margin …………………………………………. . 2,400,000 Fixed Costs …………. .…………………………………………. . 562,500 Pre Tax Income……. .………………………………………….

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Unformatted text preview: . 1,837,500 • Income Taxes (20%)…………………………………………. . 367,500 • Net Income (after tax) ………………………………………. . 1,470,000 18-11 • Sales (units at \$ each)……………………. \$975,000 • Variable Cost (40,000 units at \$140 each)………. 390,000 • Contribution Margin …………………………………………. . 585,000 • Fixed Costs …………. .…………………………………………. . 430,000 • Pre Tax Income……. .…………………………………………. . 155,000 • Income Taxes (20%)…………………………………………. . • Net Income (after tax) ………………………………………. . • 65,000 units 19:07 19:07...
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accounting chapter 18 - 1,837,500 • Income...

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