Gladys Leggrong, a retired avox extreme sports competitor, started Danoing Bike Compary loaCla bicyde manutacturing...

60.1K

Verified Solution

Question

Accounting

image
Gladys Leggrong, a retired avox extreme sports competitor, started Danoing Bike Compary loaCla bicyde manutacturing business last year. Her trat year's cortenibution format inoome statement looked like ths: NoTE. If the data above is blank it means you haven't entered your student mmber on the Cover tab. The average price DOC changed foe the sodotures was $550 per plece and DaCs income tas rate is 25. Requlred: Mease antwer the following 5 questions laing the data above. Thave lef apace ater tach quatstion for your to do your work. 1 you need more sppee you can ineert a row. Pledse do not use column A as I would like to une it to record my marking: 1 What is Dacis break even poirt in dollars? [3 marks] 2 What it Dac's martin of safety in unts? (2 marks) 3 Decis goal for year two is to earn an ater tax prott of 5 15.000 NotL. It there is ex mamber in the bea to t Assumine the cont behaviou is comstent wath what was experienoed in the frat year, the average aeling price is atill $300 a pitce and the tax tate remuire the same what would be the total units sold need so be to actieve the geal? (2 martu) 6. If Dec increases sales in year 2 by 15x tron year 1 sales, by what percentage thould operating proft increase byl? assunire cost behaviose ard average selitid priet stays the samel

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students