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Biscuit Company sells its product for $50. In addition, it has a variable cost ratio of 45 percent and total fixed costs of $6,875. What is the break-even point in units for Biscuit Company?

Bienestar, Inc., has done a cost analysis for its production of vests. The following activities and cost drivers have been developed:   Activity Cost Formula Maintenance $11,000 + $2 per machine hour Machining $55,000 + $3 per machine hour Inspection $70,000 + $500 per batch Setups $2,000 per batch Purchasing $80,000 + $150 per purchase order ​ Following are the actual costs of producing 75,000 vests: 5,000 machine hours; 10 batches; 20 purchase orders   Maintenance $20,000 Machining 73,000 Inspection 73,000 Setups 18,000 Purchasing 82,000 ​ What is the budget variance for inspection in an activity-based performance report?

Fantasmas Incorporated had the following information: ​ Activity Driver Unit Variable Cost Level of Activity Driver Units sold $         20    — Setups  1,200    60 Engineering hours     52 1,500       Other data:         Total fixed costs (traditional) $600,000       Total fixed costs (ABC) $360,000       Unit selling price      $         60   ​ How many units need to be sold to produce a before-tax profit of $80,000 using ABC?

Cost-volume-profit analysis focuses on the break-even point and the impact of changes in fixed costs and price.

In a profit-volume graph, the slope of the profit line represents

ChowMein Company is the exclusive Montana distributor of lawn mowers for a small manufacturing company. It sells only one model at $600 per unit and for which ChowMein pays $250. ChowMein’s other variable costs amount to $50 per unit. Fixed costs are $2,000. In April, ChowMein sold 15 lawn mowers and it sold 20 in May.Required: Calculate the following values: a. Monthly break-even point in sales dollars b. Monthly break-even point in units c. Monthly income for April d. Monthly income for May e. Margin of safety for April

Assume the following cost behavior data for Alpha Arts Company: ​ Sales price $  20.00  per unit Variable costs $  15.00  per unit Fixed costs $20,000   Tax rate 30%   ​ What volume of sales dollars is required to earn a before-tax income of $25,000?

Biscuit Company sells its product for $50. In addition, it has a variable cost ratio of 55 percent and total fixed costs of $6,875. How many units must be sold in order to obtain a before-tax profit of $12,000?

Hologram Printing Company projected the following information for next year: ​ Selling price per unit $    75.00 Contribution margin per unit $    30.00 Total fixed costs $120,000 Tax rate 40% ​ How many units must be sold to obtain an after-tax profit of $67,500?

Alana Company manufactures books. Manufacturing a book takes 10 units of A1 and 1 unit of A2. Scheduled production of books for the next two months is 1,000 and 1,200 units, respectively. Beginning inventory is 4,000 units of A1 and 30 units of A2. The ending inventory of A1 is planned to decrease 500 units in each of the next two months, and the A2 inventory is expected to increase 5 units in each of the next two months. ​ How many units of A1 does Alana Company expect to use in production during the second month?