Reference no: EM132702915
Aloha Clothing Company is working on a line of T-Shirts. These are their costs for the month of March; manufacturing plant manager's salaries $23,000, manufacturing plan lease payment $10,000, worker's compensation insurance monthly premium $2,000, hourly wages per unit $3, machinery repair per unit $5 and packing per unit $7. The selling price for each T-Shirt is $50
Question 1: What are the total fixed costs and variable costs per unit for the month of March?
Question 2: How many T-Shirts does Aloha need to sell to break-even?
Question 3: How many T-Shirts does Aloha need to sell to have a target income of $35,000?
Question 4: What is the contribution ratio per unit?
Question 5: What is Aloha's total cost per T-Shirt if they sell 1,200 T-Shirts and what is their operating income?
Question 6: What is Aloha's total cost per T-Shirt if they sell 3,000 T-Shirts and what is their operating income