Calculating cost and break-even

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Reference no: EM131457995

Calculating Cost and Break-Even. Night Shades, Inc. (NSI), manufactures biotech sunglasses. The variable materials cost $9.64 per unit, and the variable labor cost is $8.63 per unit.

What is the variable cost per unit?

Suppose NSI incurs fixed costs of $195,000 during a year in which total production is 215,000 units.What are the total costs for the year?

If the selling price is $39.99 per unit, does NSI break even on a cash basis?If depreciation is $465,000 per year, what is the accounting break-even point?

Reference no: EM131457995

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