Bills cabinets sells a product for 360 per unit th e

Reference no: EM13483563

Bill's Cabinets sells a product for $360 per unit. Th e company's variable cost per unit is $60 for direct material, $50 per unit for direct labor, and $34 per unit for overhead. Annual fi xed production overhead is $74,800, and fi xed selling and administrative overhead is $50,480. a. What is the contribution margin per unit? b. What is the contribution margin ratio? c. What is the break-even point in units? d. Using the contribution margin ratio, what is the break-even point in sales dollars? e. If Bill's Cabinets wants to earn a pre-tax profi t of $51,840, how many units must the company sell?

Reference no: EM13483563

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