Contribution margin ratio Contribution margin per ：边际贡献率边际贡献每

1、PowerPoint Authors:Susan Coomer Galbreath, Ph.D., CPACharles W. Caldwell, D.B.A., CMAJon A. Booker, Ph.D., CPA, CIACynthia J. Rooney, Ph.D., CPACopyright 2011 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/IrwinChapter 22COST-VOLUME-PROFIT ANALYSIS22 - 2FIXED COSTSNumber of Local

2、 CallsMonthly Basic Telephone BillCost per calldeclines asactivity increases.Number of Local Calls Monthly Basic Telephone Bill per Local CallC 122 - 3VARIABLE COSTSMinutes TalkedTotal CostsCost per MinuteMinutes TalkedactivityC 122 - 4MIXED COSTSMixed costs contain a fixed portion that is incurred

3、even when the facility is unused, and a variable portion that increases withusage. Utilities typically behave in this manner.Fixed MonthlyUtility ChargeVariable Cost per KWActivity (Kilowatt Hours) Total Utility CostTotal mixed cost C 122 - 50 1 2 3 4 5 6*Total Cost in1,000s of Dollars10200*Activity

4、, 1,000s of Units ProducedEstimated fixed cost = 10,000Draw a line through the plotted data points so that about equal numbers of points fall above and below the line. SCATTER DIAGRAMSP 122 - 6Vertical distance is the change in cost.Horizontal distance is the change in activity.Unit Variable Cost =

5、Slope = in cost in units0 1 2 3 4 5 6*Total Cost in1,000s of Dollars10200*Activity, 1,000s of Units ProducedSCATTER DIAGRAMSP 122 - 7The following relationships between unitsproduced and total cost are observed:Using these two levels of activity, compute: the variable cost per unit. the total fixed

6、cost. THE HIGH-LOW METHODP 122 - 8 Variable cost per unit is determined as follows: Fixed costs are determined as follows:THE HIGH-LOW METHODTotal cost = $17,525 + $0.17 per unit producedP 122 - 9Contribution margin is the amount by which revenue exceeds the variable costs of producing the revenue.C

7、ONTRIBUTION MARGIN AND ITS MEASURESTotal contribution margin is $60,000 and the contribution margin per unit sold is $30.A 122 - 10CONTRIBUTION MARGIN AND ITS MEASURESContributionmargin ratio Contribution margin per unitSales price per unit=Contributionmargin ratio =$30 per unit$100 per unit= 30%A 1

8、22 - 11How much contribution margin must Rydell Company have to cover its fixed costs (break-even)?Answer: $24,000COMPUTING THE BREAK-EVEN POINTHow many units must Rydell sell to cover its fixed costs (break-even)?Answer: $24,000 $30 per unit = 800 unitsP 222 - 12Unit sales price less unit variable

9、cost($30 in previous example)We have just seen one of the basic CVP relationships the break-even computation.COMPUTING THE BREAK-EVEN POINTBreak-even point in units = Fixed costsContribution margin per unitP 222 - 13The break-even formula may also be expressed in sales dollars.COMPUTING THE BREAK-EV

10、EN POINT Unit contribution margin Unit sales priceBreak-even point in dollars = Fixed costsContribution margin ratioP 222 - 14COMPUTING SALESFOR A TARGET INCOMEBreak-even formulas may be adjusted to show the sales volume needed to earn any amount of income.Unit sales = Fixed costs + Target pretax in

11、comeContribution margin per unit Dollar sales = Fixed costs + Target pretax incomeContribution margin ratioC 222 - 15Before-tax income = Target net income1 - tax rateCOMPUTING SALES (DOLLARS) FOR ATARGET NET INCOMETo convert target net income to before-tax income, use the following formula:C 222 - 1

12、6 The CVP formulas can be modified for use when a company sells more than one product. The unit contribution margin is replaced with the contribution margin for a composite unit. A composite unit is composed of specific numbers of each product in proportion to the product sales mix. Sales mix is the ratio of the volumes of the various products.COMPUTING A MULTIPRODUCTBREAK-EVEN POINTP 422 - 17A measure of the extent to which fixed costs are being used in an