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oe's Tax Service provides professional accounting and tax services. All tax return services are classified...

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Accounting

oe's Tax Service provides professional accounting and tax services. All tax return services are classified into one of three categories: standard, multiform, and complex. Following is information for last year. Also, last year, the fixed cost of rent, utilities, and so forth were $70,000.
Standard Multiform Complex
Billing rate $70 $145 $270
Average variable costs (30)(75)(150)
Average contribution margin $40 $70 $120
Number of returns prepared 1,750500250
Required
(a.) Determine Joe's break-even dollar sales volume.
Enter billing rates and contribution margins using all decimals, when needed.
Round contribution margin ratio to three decimal places.
Round break-even sales volume to the nearest dollar.
Product
Weighted
Billing Rate
Weighted
Contribution
Margin
Standard Answer 1
Answer 2
Multiform Answer 3
Answer 4
Complex Answer 5
Answer 6
Total Answer 7
Answer 8
Contribution margin ratio: Answer 9
Break-even sales volume: Answer 10
(b.) Determine Joe's margin of safety in sales dollars. Hint: Use weighted average billing rate.
Round answer to the nearest whole number.
$Answer 11

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