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I just need help with the 1I don\'t have answered in A.... I need help with CD E

ID: 2430588 • Letter: I

Question

I just need help with the 1I don't have answered in A.... I need help with CD E1 in F1


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d Calculate the Im's monthly operating income 0-1 Ma nentis ?? mgtheeb ntonofthe Prror emodel ae to its low sales i e andlo ort but on mu gr ra o As?resi t tota t ed expenses can be reduced to 67 180 per mont, Aksumingthat this change would not ct the other model, what would be the efect on net oper ting ro lssume abo that the sales voume for the Poweroym model ved increase by 494 unts per month E he Peufonts model is elrranated. What woulg be the eftect on operating ecome Rat the contribution mangin arma to analyze he mg

Explanation / Answer

c. Break even point in sales dollars   Break even point in sales dollars = Total fixed expenses / overallcontribution margin ratio =$315600/29.7% =$1062626 d.Monthly operating Income Monthly operating income = Overall contribution - Fixed expenses =$340960-$315600=$25360 * Overall Contribution= (3090X44)+(1960X75)+(1000X58)=340960 e-1: Operatin Income in case eliminate Proforce Model Particulars Megamuscle Powerzym Total Sales in units 3090 1960 Contribution margin per unit($) 44 75 Total Contribution 135960 147000 282960 Revised Fixed Cost 267180 Net Operating Income       15,780.00 e-2 Operating Income in case of elimination of Pro force model reuced to , it should be eliminated. f-1: Operating Income in case eliminate Proforce Model & increase in Qty of Powerzym Particulars Megamuscle Powerzym Total Sales in units 3090 2454 Contribution margin per unit($) 44 75 Total Contribution 135960 184050 320010 Revised Fixed Cost 267180 Net Operating Income             52,830.00 e-2 Operating Income in case of elimination of Pro force model reuced and increase the qty in Powerzym will impact in increase in operating income , it should not be eliminated.