question archive Variable costs as a percentage of sales for Lemon Inc
Subject:AccountingPrice: Bought3
Variable costs as a percentage of sales for Lemon Inc. are 80%, current
sales are $600,000, and fixed costs are $130,000. How much will operating income change if sales increase by $40,000?
Spice Inc.'s unit selling price is $60, the unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000 units. How much will operating income change if sales increase by 8,000 units?
Zipee Inc.'s unit selling price is $90, the unit variable costs are $40.50, fixed costs are $170,000, and current sales are 12,000 units. How much will operating income change if sales increase by 5,000 units?
If fixed costs are $750,000 and variable costs are 60% of sales, what is the break-even point in sales dollars?