Formula
Adjusted COGS
Unadjusted COGS – overapplied OH= adjusted COGS
Unadjusted COGS + underapplied OH= adjusted COGS
BEP Units
Profit= cm unit x q – fixed
Volume= FC/Cm.u
BEP Dollars
1. Profit= cm ratio x sales – fixed
2. BEP units x Selling price
3. Fixed cost / Cm Ratio
CM Ratio
CM Ratio
CM r= (CM unit/Sp unit)
CM r= (CM /Sales)
Composite (Average cm) cm.u
Composite (Average cm) cm.u: % x cm + % x cm + % x cm...
Contribution Margin Formula
Contribution Margin Format Statement:
Sales – VC = CM; - FC = Op. Inc
DOL
DOL= CM/Oper. Inc.
DOL= CM / (CM-FC)
High-Low Method
(Hights cost – lowest cost) / (highest units – lowest units)= variable costs per unit
MOS
MOS ($)= Acutual Sales$ - BE$
MOS (%)= (Actual Sales – BE Sales) / Actual Sales
Op. Income
