I do have further questions. Are you able to assist?
Springfield Express is a luxury passenger carrier in Texas. All seats are first class, and the following data are available:
Number of seats per passenger train car 90
Average load factor (percentage of seats filled) 70%
Average full passenger fare $ 160
Average variable cost per passenger $ 70
Fixed operating cost per month $3,150,000
Revenue = Units Sold * Unit price
Contribution Margin = Revenue – All Variable Cost
Contribution Margin Ratio = Contribution Margin/Selling Price
Break Even Points in Units = (Total Fixed Costs + Target Profit )/Contribution Margin
Break Even Points in Sales = (Total Fixed Costs + Target Profit )/Contribution Margin Ratio
Margin of Safety = Revenue - Break Even Points in Sales
Degree of Operating Leverage = Contribution Margin/Net Income
Net Income = Revenue – Total Variable Cost – Total Fixed Cost
Unit Product Cost using Absorption Cost = (Total Variable Cost + Total Fixed Cost)/# XXXXX units
Contribution margin ratio =?
Break-even point in passengers = Fixed costs/Contribution Margin =
Break-even point in dollars = Fixed Costs/Contribution Margin Ratio =
If you know # XXXXX BE passengers for one train car and the grand total of passengers, you can compute # XXXXX train cars (rounded) =?
Break-even point in passengers = fixed costs/ contribution margin
train cars (rounded) =?
Break-even point in passengers = fixed costs/contribution margin
train cars ( rounded) = ?
Then, proceed to compute # XXXXX passengers -=?
Contribution margin for discounted fares X # XXXXX seats = $ each train X$ ? train cars per day X ? days per month= $? minus $ additional fixed costs = $? pretax income.
Compute Contribution margin
# XXXXX X $ X # XXXXX cars = $ ?
Increased fixed cost ( ?)
Pretax gain (loss) on new route $
2 and 3. Compute # XXXXX passengers and train cars using computation approaches employed in some of the above problems.
4. Springfield should consider such things as (Think of qualitative factors that are important. In other words, not the numbers but other things that have to be considered, e.g., risks)
I am not sure how to do the rating
I did last week
will you be able to answer by midnight?
No georgia, you did not :)
You can check above and you will see the solution has not been rated
Also, next to your name, you will see that your rating score is zero which shows you the solution has not been rated
Midnight? No, I am not sure I can especially that we only have 1 hour & 20 minutes left until midnight
Hello Business Tutor,
Are you able to assist me today. I need it within 3 hours?
Purchases of raw materials
Raw materials inventory, beginning
Raw materials inventory, ending
Work-in-process inventory, beginning
Work-in-process inventory, ending
Finished goods inventory, beginning
Finished goods inventory, ending
Required: Prepare a Schedule of Cost of Goods Manufactured statement in the text box below.
Percentage Completed Units Materials ConversionWork in process, June 1 80,000 65% 45%Work in process, Jun 30 65,000 75% 65%
The department started 325,000 units into production during the month and transferred 340,000 completed units to the next department.
Required: Compute the equivalent units of production for the first department for June, assuming that the company uses the weighted-average method of accounting for units and costs.
Sales (45,000 units) $1,350,000
Less: variable expenses 750,000
Contribution margin 600,000
Less: fixed expenses 375,000
Net operating income $225,000
a. Calculate the unit contribution margin.
b. Calculate the break-even point in dollars.
c. If the company desires a net operating income of $290,000, how many units must it sell?
1 hour and 45mins. I've attache the doc below.