Solution-Calculate the break-even number of helmets

Calculate the break-even number of helmets

Reference no: EM133068689

Head-First Company plans to sell 5,800 bicycle helmets at $67 each in the coming year. Unit variable cost is $44 (includes direct materials, direct labor, variable factory overhead, and variable selling expense). Total fixed cost equals $40,710 (includes fixed factory overhead and fixed selling and administrative expense).

Required:

Calculate the break-even number of helmets.

Check your answer by preparing a contribution margin income statement based on the break-even units.

Refer to the list below for the exact wording of an amount description within your income statement.

Amount Descriptions

Operating income
Operating lose
Sales
Total contribution margin
Total fixed cost
Total variable cost

Reference no: EM133068689

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Calculate the break-even number of helmets

Reference no: EM133068689

Reference no: EM133068689

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