Unformatted text preview: Manufacturing Inc. had sales of
$2,200,000 for the first quarter of 2011. In
making the sales, the company incurred the
following
following costs and expenses. Prepare a CVP income statement for the quarter
ended March 31, 2011.
Chapter
543 Example 1 Chapter
544 Example
Example 2
Astoria Company has a unit selling price of $520,
variable costs per unit of $286, and fixed costs
of $187,200. Compute the breakeven point in
breakunits
units using (a) the mathematical equation and (b)
contribution
contribution margin per unit. Chapter
545 Example 3
Logan Corp. had total variable costs of $180,000,
total fixed costs of $160,000, and total revenues
of $300,000. Compute the required sales in
dollars
dollars to break even. Chapter
546 Example
Example 4
For Burns Company, variable costs are 60% of
sales, and fixed costs are $195,000.
Management’s net income goal is $75,000.
Compute
Compute the required sales in dollars needed to
achieve
achieve management’s target net income of
$75,000. (Use the contribution margin approach.)...
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