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##### "Big Al is about to begin work on the budget for 2...

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"Big Al is about to begin work on the budget for 20x2 and they have requested that you prepare an analysis based on the following assumptions. Note: Remember, that we cannot sell part of a lamp, therefore to find the number of units you have to round up to the next complete unit. Furthuremore, to find the required sales in dollars it may be easier to find the number of units and then multiply by the selling price per unit. 1. For 20x2 the selling price per lamp will be $45.00. What is the projected contribution margin and contribution margin ratio for each lamp sold? Contribution Margin per unit (Round to seven places, $##.#######) Contribution Margin Ratio (Round to seven places,% is two of those places ##.#####%) 2. For 20x2 the selling price per lamp will be $45.00. The desired net income in 20x2 is $202,500 . What would sales in units have to be in 20x2 to reach the profit goal? Breakeven sales in units (Since we cannot sell part of a unit round up to the next unit if needed) 3. For 20x2 the selling price per lamp will be $45.00. If the fixed cost increase by $50,000.00 how many lamps must be sold to breakeven? Breakeven sales in units (Since we cannot sell part of a unit round up to the next unit if needed) 4. For 20x2 the selling price per lamp will be $45.00. If the variable cost increase by $5.00 a unit how many lamps must be sold to breakeven? Breakeven sales in units (Since we cannot sell part of a unit round up to the next unit if needed) 5. For 20x2 the selling price per lamp will be $45.00. If the variable cost decreased by $5.00 a unit how many lamps must be sold to breakeven? Breakeven sales in units (Since we cannot sell part of a unit round up to the next unit if needed) 6. If for 20x2 the selling price per lamp is increased to $50.00 a unit how many lamps must be sold to breakeven? Breakeven sales in units (Since we cannot sell part of a unit round up to the next unit if needed) 7. If for 20x2 the selling price per lamp is decreased to $40.00 a unit how many lamps must be sold to breakeven? Breakeven sales in units (Since we cannot sell part of a unit round up to the next unit if needed) "

Paper#8206 | Written in 18-Jul-2015

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