Calculate contribution margin and selling price per unit

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Reference no: EM131049892

1. Calculate the breakeven point in units and dollars for the following situations.


Selling Price per Unit Variable Cost per Unit Annual Fixed Costs
Company #1 $105 $57 $150,000
Company #2 $210 $113 $125,000
Company #3 $186 $100 $400,000
Company #4 $83 $45 $250,000
Company #5 $512 $276 $425,000

2. Use the information from the following Income Statement to solve for the questions:

Income Statement
Sales Revenue
$1,750,000



Variable Costs

Purchases $425,000
Direct labor $395,000 $820,000


$930,000
Fixed Costs

Selling $175,000
Administrative $110,000 $285,000

The above is based on sales of 20,000 units.

Calculate:

1. Contribution Margin

2. Selling price per unit

3. Variable labor cost per unit

4. Variable purchases cost per unit

5. Breakeven point in units and dollars

Complete the C-V-P & Breakeven Assignment. Refer to the resources provided in the Resource Document to help with this assignment.

Attachment:- Resource.rar

Reference no: EM131049892

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