Solution-Determine the contribution margin per unit

Determine the contribution margin per unit

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Reference no: EM13536199

Margin of safety

Information concerning a product produced by Hinshaw Company appears here.

Sales price per unit	$159
Variable cost per unit	$34
Total annual fixed manufacturing and operating costs	$912,500

Required

Determine the following.

a. Contribution margin per unit.

b. Number of units that Hinshaw must sell to break even.

c. Sales level in units that Hinshaw must reach to earn a profit of $325,000.

d. Determine the margin of safety in units, sales dollars, and as a percentage.

Reference no: EM13536199

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Determine the contribution margin per unit

Reference no: EM13536199

Reference no: EM13536199

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