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What is the break-even-point or bep in units

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B&B produces and sells one single product: BT5. The production capacity of B&B is 48,000 units. Annual sales volume expected in 2021 is 40,000 units.

The following information is estimated for 2021: selling price per unit: $100, variable cost per unit: $75, and annual fixed costs: $520,000.

Problem 1. What is the available production capacity?

Problem 2. What is the contribution margin per unit?

Problem 3. What is the contribution margin ratio?

Problem 4. What is the break-even-point (BEP) in units?

Problem 5. What is the BEP in sales dollars?

Reference no: EM132844274

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