Unit variable cost and the contribution margin per unit

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Reference no: EM13151093

Mega Stampers has collected new data over the last three months for evaluation of their budgeting and cost computations. Their average production labor cost is $5,500.00 per month, the average raw materials consumed per month is $1,475.00, the average utilities expense is $500.00, which is all production, depreciation, other overhead items, and indirect items are averaging $1,950.00 per month. Stampers has been producing an average of 1,925 hub caps per month which sells at $9.95 each. Compute the unit variable cost and the contribution margin per unit. If fixed costs are $2750.00 per month. What is the break-even point in units?

Reference no: EM13151093

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