Discuss company incurred the following sales and costs

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A service company incurred the following sales and costs: Sales

Sales

$760,000

Fixed administrative costs

$116,000

Fixed selling costs

$84,000

Depreciation

$20,000

Salaries

$165,000

Selling costs that change as sales change

$28,000

Variable cost of providing services

$262,000

Services provided

8,000 units

Compute the following:

Contribution margin per unit Blank 1

Contribution margin ratio Blank 2

Break even in units Blank 3

Break even in sales dollars Blank 4

Units that must be sold to have before tax profit of $500,000 Blank 5

Required sales dollars to achieve a before tax profit of $500,000 Blank 6

Margin of safety in units Blank 7 and margin of safety in dollars Blank 8

Contribution margin Blank 9 , Income Blank 10 , and Operating leverage Blank 11 Percent (%) income will increase if sales increase 20% Blank 12 Income if sales go up 20% Blank 13

Reference no: EM131753083

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