Assume that the breakeven point of Dollar Company is $37,500 in terms of sales. Fixed costs are
Question:
Assume that the breakeven point of Dollar Company is $37,500 in terms of sales. Fixed costs are $15,000.
a. What is the contribution margin ratio?
b. What is the sales price if the variable costs are $18 per unit?
c. What is the amount of the margin of safety both in units and in dollars if 1,400 units are sold?
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a BEP sales dollars Total fixed costs Contribution margin ratio 37500 15000 x x 150...View the full answer
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Related Book For 
Managerial Accounting
ISBN: 9780137689453
1st Edition
Authors: Jennifer Cainas, Celina J. Jozsi, Kelly Richmond Pope
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