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Discuss what is the products cm ratio

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Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $120 per unit. Variable expenses are $60.00 per unit, and fixed expenses total $180,000 per year.

What is the product's CM ratio?

Use the CM ratio to determine the break-even point in dollar sales

Due to an increase in demand, the company estimates that sales will increase by $43,000 during the next year. By how much should net operating income increase (or net loss decrease) assuming that fixed expenses do not change?

Assume that the operating results for last year were:

Reference no: EM131761390

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