Which ratio indicates the percentage of each sales dollar that is available to

# Which ratio indicates the percentage of each sales

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Which ratio indicates the percentage of each sales dollar that is available to cover fixed costs and to provide a profit? Variable costs as a percentage of sales for Leamon Inc. are 75%, current sales are \$600,000, and fixed costs are \$110,000. How much will operating income change if sales increase by \$50,000? 32%If sales are \$820,000, variable costs are 68% of sales, and operating income is \$260,000, what is the contribution margin ratio? A firm operated at 90% of capacity for the past year during which fixed costs were \$320,000, variable costs were 60% of sales, and sales were \$1,200,000. Operating profit was44% If sales are \$200,000, variable costs are 56% of sales, and operating income is \$30,000, what is the contribution margin ratio? Wiles Inc.'s unit selling price is \$40, the unit variable costs are \$30, fixed costs are \$135,000, and current sales are 10,000 units. How much will operating income change if sales increase by 5,000 units? If fixed costs are \$850,000 and variable costs are 70% of sales, what is the break-even point (in dollars)? If fixed costs are \$250,000, the unit selling price is \$105, and the unit variable costs are \$65, what is the break-even sales (in units)? If fixed costs are \$750,000 and variable costs are 55% of sales, what is the break-even point (in dollars)? Foggy Co. has the following operating data for its manufacturing operations:Unit selling price\$ 250Unit variable cost\$ 100Total fixed costs\$840,000The company has decided to increase the wages of hourly workers, which will increase the unit variable cost by 10%. Increases in the salaries of factory supervisors and property taxes for the factory will increase fixed costs by 4%. If sales prices are held constant, the break-even point for Flynn Co. will If fixed costs are \$350,000, the unit selling price is \$75, and the unit variable costs are \$30, what is the break-even sales (in units)? If fixed costs are \$810,000, the unit selling price is \$60, and the unit variable costs are \$48, what is the break-even sales (in units) if the variable costs are increased by \$2? If fixed costs are \$810,000, the unit selling price is \$60, and the unit variable costs are \$48, what is the break-even sales (in units) if fixed costs are reduced by \$50,000? 18,000 units and 15,000 unitsIf fixed costs are \$450,000, the unit selling price is \$75, and the unit variable costs are \$50, what are the old and new break-even sales (in units) if the unit selling price increases by \$5?  #### You've reached the end of your free preview.

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