Business, 06.05.2020 00:12 pcruznoel6624

Victoria Company reports the following operating results for the month of April.

VICTORIA COMPANY
CVP Income Statement
For the Month Ended April 30, 2017

Total

Per Unit

Sales (8,600 units) $455,800 $53
Variable costs 223,342 25.97
Contribution margin 232,458 $27.03
Fixed expenses 205,428
Net income $27,030

Management is considering the following course of action to increase net income: Reduce the selling price by 5%, with no changes to unit variable costs or fixed costs. Management is confident that this change will increase unit sales by 20%.

Using the contribution margin technique, compute the break-even point in units and dollars and margin of safety in dollars: (Round intermediate calculations to 4 decimal places e. g. 0.2522 and final answer to 0 decimal places, e. g. 2,510.)

(a) Assuming no changes to selling price or costs.

Break-even point
Victoria Company reports the following operating r

units
Break-even point
$Victoria Company reports the following operating r

Margin of safety
$Victoria Company reports the following operating r

(b1) Assuming changes to sales price and volume as described above.

Break-even point
Victoria Company reports the following operating r

units
Break-even point
$Victoria Company reports the following operating r

Margin of safety
$Victoria Company reports the following operating r

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Victoria Company reports the following operating results for the month of April.

VICTORI...

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