need full solutions pls! Question 16 (18 points) Ratelle Company manufactures...

60.1K

Verified Solution

Question

Accounting

need full solutions pls!
image
Question 16 (18 points) Ratelle Company manufactures two products. Information about the two products is as follows: (18 marks) Product A Product B Selling sales price per unit $120 $45 Variable costs per unit $68 $23 The company expects fixed costs to be $283,500 The firm expects 75% of its sales (in units) to be Product A. Fixed costs of $215,625 are allocated to Product A and $70,875 are allocated to Product B. The income tax rate is 40% Required: - note be sure to label your work for parts (a )to (c) and clearly document all calculations IN GOOD FORM. ( 18 marks) a) Determine the break-even point in units for Products A and B. 1 b) Determine the level of sales (in dollars) necessary to generate operating income of $198,000. c) Determine the level of sales (in dollars) necessary to generate net income of $128,700

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