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Hubert Tax Service offers tax and consulting services to individuals and small businesses. Data for fees and costs of three types of tax returns follow. Hubert provides services in the ratio of 4:3:3 (easy, moderate, business). Fixed costs total $11,000 for the tax season. Type of Return per return Fee Charged Variable Cost Easy (form 1040EZ) $32 $ 21 Moderate (form 1040) 107 66 Business 257 91

(1) Determine the selling price per composite unit. Selling price per composite unit $

(2) Determine the variable costs per composite unit. Variable costs per composite unit $

(3) Determine the breakeven point in composite units. (Round your answer to 2 decimal places.) Break-even point in composite units: _?_composite units

(4) Determine the number of units of each product that will be sold at the break-even point. (Round your intermediate calculations to 2 decimal places and final answers to nearest units.) Unit sales of Easy at break-even point: _?_ units Unit sales of Moderate at break-even point: _?_ units Unit sales of Business at break-even point: _?_ units

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M9990634

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