1. A recent income statement of Bantom Corporation reported the following data:

Sales revenue	$	8,588,000
Variable costs		5,947,000
Fixed costs		2,760,000

If these data are based on the sale of 19,000 units, the contribution margin per unit would be:

Multiple Choice

• $29.

• $139.

• $279.

• $349.

• None of the answers is correct.

2.

Danbury Company has a break-even point of 90,000 units. If the firm's sole product sells for $40 and fixed costs total $360,000, the variable cost per unit must be:

Multiple Choice

• an amount that cannot be derived based on the information presented.

• an amount other than $4, $36, or $44, but one that can be derived based on the information presented.

• $44.

• $4.

• $36.