The following CVP income statements are available for Blanc Company and Noir Company....
80.2K
Verified Solution
Link Copied!
Question
Accounting
The following CVP income statements are available for Blanc Company and Noir Company. Sales Variable costs Contribution margin Fixed costs Net income Blanc Company $513,000 282,150 230,850 174,000 $56,850 Noir Company $513,000 184,680 328,320 271,470 $56,850 Calculate Contribution margin ratio. (Round answers to 2 decimal places, e.g. 0.32.) Contribution Margin Ratio Blanc Company Noir Company Compute break-even point in dollars for each company. (Round answers to 0 decimal places, e.g. 1,225.) Break-even Point Blanc Company $ Noir Company $ Compute margin of safety ratio for each company. (Round answers to 3 decimal places, e.g. 0.321.) Margin of Safety Ratio Blanc Company Noir Company Compute the degree of operating leverage for each company. (Round answers to 1 decimal place, e.g. 1.5.) Degree of Operating Leverage Blanc Company Noir Company Assuming that sales revenue increases by 20%, prepare a CVP income statement for each company. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round answers to 0 decimal places, e.g. 1,225.) Blanc Company Noir Company Assuming that sales revenue increases by 20%, prepare a CVP income statement for each company. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round answers to 0 decimal places, e.g. 1,225.) Blanc Company Noir Company Sales $ $ Variable costs Contribution margin Fixed costs Net income /(Loss) $ Assuming that sales revenue decreases by 20%, prepare a CVP income statement for each company. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round answers to 0 decimal places, e.g. 1,225.) Blanc Company Noir Company Sales $ $ Variable costs Contribution margin Fixed costs Net income /(Loss) $ $
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!