(Solved): hw 5 q 5 Cost-Volume-Profit Equation, Basic Concepts, Solving for Unknowns Instructions Cost-Volume- ...

Cost-Volume-Profit Equation, Basic Concepts, Solving for Unknowns Instructions Cost-Volume-Profit Equation, Basic Concepts, Solving for Unknowns Elvin Company produces hand cream in plastic jars. Each jar selis tor $\$5.60$. The variable cost for each jar (materials, labor, and overhead) totais $\$3.92$. The fotal fixed cost is $\$64,200$. Ouring the most recent year, 70,000 jars were sold Required: 1. What is the break-even point in units for Evin? What is the margin of safety in units for the most recent year? 2. Prepare an income statement for Elin's most recent year. 3. How many units must be sold for Elvin to earn a profit of $\$62,000$ ? 4. What is the level of sales dollars needed for Elin to earn operating income of $10\%6$ of sales? 3. How many units must be sold for Elvin to earn a profit of $\$62,000$ ? 4. What is the level of sales doliars needed for Elvin to earn operating income of $10\%$ of sales? Cost-Volume-Profit Equation, Basic Concepts, Solving for Unknowns Cost-Volume-Profit Equation, Basic Concepts, Solving for Unknowns 1(a) What is the break-even point in units for Elvin? The break-even point in units is ple cost for eac Id. 1 (b) What is the margin of safety in units for the most recent year? The margin of safety in units is inits for the mo $0\%$ of sales?