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Question - Nortel Company had the following data (in thousand dollars Direct labor $270) for a given period.
Fixed selling and administrative expenses 150
Variable manufacturing overhead 200
Direct materials 450
Sales 1,500
Operating income 100
Contribution margin 500
Required -
(1) Compute the manufacturing cost of goods sold.
(2) Compute the gross profit.
(3) Compute the variable selling and administrative expenses.
(4) Compute the fixed manufacturing overhead costs.
(5) Compute the break-even point in $ sales.
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