Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. At the break-even point, Jefferson Company sells 135,000 units and has fixed cost of $345,100. The variable cost per unit is $0.30. What price

image text in transcribed
1. At the break-even point, Jefferson Company sells 135,000 units and has fixed cost of $345,100. The variable cost per unit is $0.30. What price does Jefferson charge per unit? Note: Round to the nearest cent. 3.27 X 2. Sooner Industries charges a price of $128 and has fixed cost of $491,500. Next year, Sooner expects to sell 11,000 units and make operating income of $166,000. What is the variable cost per unit? What is the contribution margin ratio? Note: Round your variable cost per unit answer to the nearest cent. Enter the contribution margin ratio as a percentage, rounded to two decimal places. Variable cost per unit 104.28 X Contribution margin ratio 27.58 X 90 3. Last year, Jasper Company earned operating income of $14,220 with a contribution margin ratio of 0.15. Actual revenue was $237,000. Calculate the total fixed cost. Note: Round your answer to the nearest dollar, if required. 4. Laramie Company has variable cost ratio of 0.40. The fixed cost is $90,000 and 30,000 units are sold at break-even. What is the price? What is the variable cost per unit? The contribution margin per unit? Note: Do NOT round interim computations. Round answers to the nearest cent. Price Variable cost per unit Contribution margin per unit

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accountability Ethics And Sustainability Of Organizations

Authors: Sandro Brunelli, Emiliano Di Carlo

3rd Edition

3030311929, 9783030311926

More Books

Students also viewed these Accounting questions