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Accy 202: Chapter 18 Equations
desired income sales |
desired incomes sales= total fixed cost + income / contribution margin ratio
|
contribution margin ratio |
contribution margin ration= price - variable cost (contribution margin per unit) / sales per unit |
contribution margin per unit |
contribution= sales price per unit - total variable cost per unit |
break even points in units |
fixed costs / contribution margin per unit |
break even in dollars |
fixed costs / contribution margin ration |
margin of safety (in 100%) |
expected sales - break down sales / contribution margin ratio |
dollar sales at target after tax income |
fixed costs + target pretax income / contribution margin ratio |
unit sales at target after - tax income |
fixed costs + target pretax income / contribution margin per unit |
revised break - even point in dollars |
revised fixed costs / revised contribution margin ratio |
break even point in composite units |
fixed costs / weighted - average contribution margin |