Prepare a contribution margin income statement

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Reference no: EM13912731

Rudy Co. has total fixed costs of $520,000. A unit of product sells for $15 and variable costs per unit are $11.

a) Prepare a contribution margin income statement showing predicted net income (loss) if Rudy Co. sells 100,000 units for the year ended December 31.

b) At a minimum, how many units must Rudy Co. sell in order not to incur a loss?

Reference no: EM13912731

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