A manufacturing company sell hats for 650 each and the

Reference no: EM13603242

A manufacturing company sell hats for 6.50 each and the variable cost to manufacture then is 3.25 pe unit. The company needs to sell 10,000 shirts to break even. The net income last year was 6040. The expected year is as follow

Hats sale price is 10.00
VC will increase by one third
fixed cost will increase 20%
the income tax 30% will be unchanged

Caluculate the contribution margin per unit for coming year.

Reference no: EM13603242

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