Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. try spirit calendars imprints calendars with colle

Try Spirit Calendars imprints calendars with college names. The company has fixed expenses of $...

60.1K

Verified Solution

Question

Accounting

Try Spirit Calendars imprints calendars with college names. The company has fixed expenses of $ 1 comma 095 comma 000 each month plus variable expenses of $ 4.00 per carton of calendars. Of the variable expense, 68% is cost of goods sold, while the remaining 32% relates to variable operating expenses. The company sells each carton of calendars for $ 12.00.
1.Compute the number of cartons of calendars that Try Spirit Calendars must sell each month to break even.
2.Compute the dollar amount of monthly sales that the company needs in order to earn $ 312 comma 000 in operating income(round the contribution margin ratio to two decimal places).
3.Prepare the company's contribution margin income statement for June for sales of 455 comma 000 cartons of calendars.
4.What is June's margin of safety(in dollars)? What is the operating leverage factor at this level of sales?
5.By what percentage will operating income change if July's sales volume is 15%higher? Prove your answer.
(need help with part 5)

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

Q

which of the 5 prezygotic reproductive barriers do you think happens more frequently and why?

Biology
Q

Design of Rigid pavement for new construction - USING AASHTO METHOD

Civil Engineering
Q

If a transit depth of 0.00001 can be detected with the Kepler spacecraft, what is the...

Physics
Q

In the space below, write an analysis of approximately 250 words on how the system of...

Psychology
Q

2 Discuss neurulation and state the significance

Biology
Q

QUESTION 17 1 POINT The polynomial f x given below f x x 3 7x...

Geometry
Q

A rancher wants to fence in an area of 3,000,000 square feet in a rectangular...

Basic Math
Q

Which number below is written in scientific notation?33.5 x 100.335 x 1043.35 x 100.063.35 ...

Algebra
Q

13 For each of the following expressions determine the numerical value and units of the...

Algebra
Q

Item 43 Item 43 If the cost of the beginning work in process inventory is...

Accounting
Q

Glasgow Enterprises started the period with 220 units in beginning inventory that cost $9.50 each....

Accounting
Q

Hillbrand Company has the following information for the current year: The company's accounting records provide...

Accounting