Refer to the stealth software inc information above if the

Assignment Help Accounting Basics

Reference no: EM13595499

1.Stealth Software Inc. has the following information available from last year for one of its software products:

Sales revenue          $30,000
Variable costs          4,950
Fixed costs               4,000
Net income               $21,050

If the software had a sales price of $30 per unit, what is the variable cost per unit?
a. $0.20
c. $4.95
d. $25.05

2.Refer to the Stealth Software Inc. information above. If the software had a sales price of $30 per unit, what is the contribution margin per unit?
a. $34.95
b. $21.05
c. $25.05
d. can not be determined

3.Refer to the Stealth Software Inc. information above. If the sales price per unit is $30 and the company expects a 30% increase in sales volume this year along with a 20% decrease in fixed costs. What will be expected net income this year?
a. $30,850
b. $41, 065
c. $23,155
d. $29,365

Reference no: EM13595499

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