Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. multiple product break-even analysis joe's tax ser

Multiple Product Break-Even Analysis Joe's Tax Service prepares tax returns for low-to middle-income taxpayers. Its...

70.2K

Verified Solution

Question

Accounting

Multiple Product Break-Even Analysis Joe's Tax Service prepares tax returns for low-to middle-income taxpayers. Its service operates January 2 through April 15 at a counter in a local grocery store. All jobs 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 $65,000.

Standard Multiform Complex
Billing rate $65 $140 $265
Average variable costs (30) (75) (150)
Average contribution margin $35 $65 $115
Number of returns prepared 1,750 500 250

Required (a.) Determine Joe's break-even dollar sales volume.

Round contribution margin to three decimal places.

Round break-even sales volume to the nearest dollar.

Product

Weighted

Selling Price

Weighted

Contribution

Margin
Standard $Answer $Answer
Multiform Answer Answer
Complex Answer Answer
Total $ Answer $ Answer
Contribution margin ratio: Answer
Break-even sales volume: $Answer

(b.) Determine Joe's margin of safety in sales dollars.

Round answer to the nearest whole number. $Answer

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

Physics
1.2K views

Members of the astronomy club just posted an article about the discovery of a small comet...

Basic Math
1.2K views

Twelve students are going to listen to a talk The group consists of 3 chemistry...

Basic Math
1.2K views

Matthew is going to invest in an account paying an interest rate of 5.5% compounded...

Basic Math
1.2K views

Jane Roznowski wants to invest some money now to buy a new tractor in the...

Calculus
1.2K views

rt the following degree measure to radian measure 33 radians Type an integer or a...

Algebra
1.2K views

2y x 5 and 3y x 0 Which graph correctly represents this 3 2 1...

Accounting
1.2K views

A self-imposed budget is a method of preparing budgets in which the company allows the...

Accounting
1.2K views

Inventory and prepaid expenses account for $28,000 of the current year's current assets Average inventory...

Accounting
1.2K views

1. Which of the following would be a violation of the IIA Code of Ethics?...

Accounting
1.2K views

The NVFT for an item under temporary importation and 1/60 partial GST Value of the...

Accounting
1.2K views

Bond Payable: On 7/1/14, Sasha issued $ 2,000,000 12% bonds, maturing in 5 years with...

Finance
1.2K views

data tables included. thank you! Risk-adjusted discount rates and risk asses)...