Reference no: EM133042204
Question - CompuDesk,Inc., makes an oak desk specially designed for personal computers. The desk sells for $500. Data for last year's operations follow:
Sales (400 units) $200,000
Direct materials used 40,000
Variable manufacturing overhead 35,000
Fixed selling and administrative costs 10,000
Direct labor 30,000
Fixed manufacturing overhead 50,000
Variable selling and administrative costs 5,000
Required -
1. Compute the total manufacturing cost of goods sold?
2. Compute the gross margin or gross profit?
3. Compute the contribution margin?
4. Compute the operating income or loss?
5. Compute the company's break-even point in number of units sold?
6. Compute the company's break-even point in $ sales?
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