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General Accounting Discussions: How to finished my Assignment??

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    • CommentAuthoradamsmith
    • CommentTimeNov 10th 2009
     
    I need help in preparing my assignment which is on
    "how managerial accounting help in optimizing business resources"
    • CommentAuthorlmjkids
    • CommentTimeNov 17th 2009
     
    I need help on calculating the break-even point in units of output for the firm:

    Return on operating assets = 25%
    Operating assets turn over = 5 times
    Operating assets = $20 million
    Degree of operating leverage = 4 times
    • CommentAuthorlmjkids
    • CommentTimeNov 17th 2009
     
    I need to find the break-even point and leverage on the given questions:
    A manufacturer has a complete radio and communication equipment for law enforecement agencies. The average selling price of its finished product is $180 per unit. The variable cost for these same units is $126. The company incurs a fixed costs of $540,000 per year.
    a. What is the break-even point in units for the company?
    b. What is the dollar sales volume the firm must achieve in order to reach the break-even point?
    c. What would be the firm's profit and loss at the following units of production sold: 12,000 units? 15,000 units? 20,000 units?
    c. Find the degree of operating leverage for the production and sales levels given in part (c).
    Thankful People: Ddeborahswm

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