Units as Horizontal Axis Given the data below, create a CVP graph. DATA Total Fixed Costs $100,000 Unit Selling Price $50 Unit Variable Cost $30 Unit Contribution Margin $20 Chart Data Points...

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Complete using the Excel template provided for you here.Week 5 Case Study = CH 5 CT-1 on Workbook pdf 126. Graph Samples provided in separateexcel file.




Units as Horizontal Axis Given the data below, create a CVP graph. DATA Total Fixed Costs$100,000 Unit Selling Price$50 Unit Variable Cost$30 Unit Contribution Margin$20 Chart Data Points QuantityUnit Variable CostTotal Variable CostUnit Sales PriceTotal Sales Total Costs 030050$ - 0100000 1000303000050$ 50,000130000 2000306000050$ 100,000160000 3000309000050$ 150,000190000 40003012000050$ 200,000220000 50003015000050$ 250,000250000 60003018000050$ 300,000280000 70003021000050$ 350,000310000 80003024000050$ 400,000340000 90003027000050$ 450,000370000 100003030000050$ 500,000400000 #1 Put problem data at top of worksheet for use #2 Create chart of data points in relevent range #3 Create chart/graph #4 Using either the chart wizard, or right clicking select data for the 2 Axis, the lines, and label the legend #5 Using drawing tools and text boxes enter dotted lines, arrows, and other labels within the chart…. C-V-P Total Sales010002000300040005000600070008000900010000050000100000150000200000250000300000350000400000450000500000Total Costs010002000300040005000600070008000900010000100000130000160000190000220000250000280000310000340000370000400000Variable Costs0300006000090000120000150000180000210000240000270000300000Units Total Sales and Costs Break Even Revenues as Horizontal Axis Given the data below, create a CVP graph. DATA Total Fixed Costs$375,000 Unit Selling Price$1 Unit Variable Cost$0.55 Unit Contribution Margin$0.45 Chart Data Points SALESUnit Variable CostTotal Variable CostUnit Sales PriceTotal Sales Total Costs 00.550$ - 0375000 5000000.55275000500000650000 10000000.555500001000000925000 15000000.5582500015000001200000 20000000.55110000020000001475000 #1 Put problem data at top of worksheet for use #2 Create chart of data points in relevent range #3 Create chart/graph #4 Using either the chart wizard, or right clicking select data for the 2 Axis, the lines, and label the legend #5 Using drawing tools and text boxes enter dotted lines, arrows, and other labels within the chart…. C-V-P Total Sales05000001000000150000020000000500000100000015000002000000Total Costs050000010000001500000200000037500065000092500012000001475000Variable Costs05000001000000150000020000000275000550000825000.000000000121100000REVENUES Total Sales and Costs Break Even Chapter 5 Cost-Volume-Profit Analysis 126 Critical thinking Ct-1 LO 4 5 Vivian Lopez and Loren San will be opening a pastry store called Tasty Desserts. They are opening in two weeks and have still not decided how much to charge for their cakes and how much they should spend on advertisements and promotions. The following information is available: Tasty Dessert’s variable costs per cake $10 Tasty Dessert’s fixed costs for the year $12,500 Maximum production capacity for the year 5,000 cakes Tasty Dessert’s selling price per cake ? Advertising budget ? Competitor’s selling price per cake (offer similar cakes as Tasty Dessert’s) $20 The two owners had the following discussion regarding the selling price and advertising budget: Vivian: Opening day is in two weeks! Loren, we really need to figure out how much we’ll be selling our cakes for and our advertising budget. loren: As a new store, I think we should charge the same rate as our competitors and advertise our store on the radio and local review blogs. I anticipate that these advertising expenses will increase our fixed costs by $3,000. Vivian: Well, I think the best way to attract customers is to sell our cakes cheaper than anyone else. I’m thinking we should charge 10% lower than our competitor’s rate. As for advertising, I don’t think we need to spend money on advertisements at all. We can simply create a Facebook group and invite a bunch of friends and families. This way, we will generate more sales. In fact, I think we can potentially increase sales by 1,500 cakes. loren: I agree that we will probably sell more cakes if we charge 10% lower than our competitors. However, I don’t think we will be able cover our fixed costs if we reduce our prices. We should also be concerned with breaking even as quick as possible. Whose suggested strategy should be recommended? Assume that 5,000 cakes will be sold.
Answered Same DayFeb 14, 2021

Answer To: Units as Horizontal Axis Given the data below, create a CVP graph. DATA Total Fixed Costs $100,000...

Sumit answered on Feb 14 2021
143 Votes
CH 5 Case Study
    ACC 232                            NAME
    CH 5 Case Study
    Workbook CT-1 on pg 124
    Whose suggested s
trategy should be recommended? Assume that 5000 cakes will be sold.
    Part a) Calculate and graph the break-even point.
    Part b) Calculate the profit is Plan Loren is implemented.
    Part c) Calculate the profit is Plan Vivian is implemented.
    Part d) Comment on which strategy should be implemented and why. Also comment on your recommendation for Tasty Desserts.
    Answer: Since the Profit is more in case Vivian Plan is implemented, hence her plan should be followed. The reason for higher profit is the incease in sales by 1500 units and the reduced fixed costs due to no advertisement expense.
Solution
    Particulars    Vivian...
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