Reference no: EM132590273

The following information were taken from B.B, Company ;

Sales Revenue (30,000 units) $ 1,200,000

Total Variable costs $ 900,000

Total Fixed Costs $ 100,000

Required :

Question 1- Compute the company's Contribution Margin ratio and variable cost ratio

Question 2- Compute BEP in units and Dollars

Question 3- If the sales increase by $ 200,000, compute the expected increase in Contribution Margin

Question 4- If the target profit $120,000, compute unit sales to attaint the target profit

Question 5- Compute the margin of Safety in both dollars and percentage form