Reference no: EM132516101
Question 1: Calculate the per-unit contribution margin of a product that has a sale price of $200 if the variable costs per unit are $65.
Question 2: Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of $30. The company's monthly fixed expenses are $22,500.
A. What is the company's break-even point in units?
B. What is the company's break-even point in dollars?
C. Construct a contribution margin income statement for the month of September when they will sell 900 units.
D. How many units will Maple need to sell in order to reach a target profit of $45,000?
E. What dollar sales will Maple need in order to reach a target profit of $45,000?
F. Construct a contribution margin income statement for Maple that reflects $150,000 in sales volume.
Question 3: Salvador Manufacturing builds and sells snowboards, skis and poles. The sales price and variable cost for each are shown:
Sellings price Variable cost
Product per unit per unit Snowboards $320.00 $170.00
Skis $400.00 $225.00
Poles $ 50.00 $ 20.00
Their sales mix is reflected in the ratio 7:3:2. What is the overall unit contribution margin for Salvador with their current product mix?