Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the contribution income statement for abc ltd. for

The Contribution Income Statement for ABC Ltd. for the year ended December 31, 2020 is...

80.2K

Verified Solution

Question

Accounting

image
The Contribution Income Statement for ABC Ltd. for the year ended December 31, 2020 is as follows (Ignore Income Tax): Sales Variable cost $800,000 $300,000 Contribution Margin $500,000 Fixed Costs $400,000 Net Income $100,000 For 2020, ABC sold 700,000 units. In January 2021, ABC produced and sold 10,000 units. ABC has budgeted 250,000 units for sale in 2021. Required: i) ii) What was the approximate Break-Even Point for ABC for 2020? [2 Points) What would have been the 2020 Break-Even Point if the 2020 Target Net Income had been $350,000? [1 Point} Identify 2 things that ABC should have done to attain a Target Net Income for $350,000 for 2020? [2 Points] iii)

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: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

I honestly have a lot of questions regarding frequency tables, regression, standard deviation and so on questions....

Basic Math
Q

Q2 The internet is full of articles and studies either praising or condemning the use GMO...

Biology
Q

Remarkably, a catalytic system that uses light energy to hydrolyze water into hydrogen H2(g)and O(g) has been...

Chemistry
Q

5. Draw a dam shape, show its parts on the shape, and illustrate the geological factors affecting...

Civil Engineering
Q

Oklahoma adopted prohibition on September 17 In 1933 the state legalized the sale of beer...

Biology
Q

7 A rod of weight W is supported by two parallel l edges A and...

Physics
Q

A constant force F 20 N acts on a block of mass 2 kg which...

Physics
Q

Mahmet earned wages of $163,800 during 2023. Mahmet qualifies to file as head of household...

Accounting
Q

9: Audit threats Describe the seven threats to independence articulated in the AICPAs independence conceptual...

Accounting
Q

2. Interest Coverage Ratio Formula: Interest Coverage Ratio = Earnings Before Interest and...

Accounting
Q

Dell Corporation has a target capital structure of 45% debt and 55% common equity, with...

Finance
Q

G 20 $5,733 $5.753 Question 4 20 pts Today, you sold 200 shares of SLG,...

Finance