11.

Pauley Company provides home health care. Pauley charges $35/hour for professional care. Variable costs are $21/hour and fixed costs are $78,000. Next year, Pauley expects to charge out 12,000 hours of home health care. What is the variable cost ratio?

A)50% B)60% C)40% D)33% E)67%

12.

Pauley Company provides home health care. Pauley charges $35/hour for professional care. Variable costs are $21/hour and fixed costs are $78,000. Next year, Pauley expects to charge out 12,000 hours of home health care. What is the contribution margin ratio?

A)40% B)33% C)60% D)50% E)67%

13.

A company provided the following data:

Selling price per unit	$60
Variable cost per unit	$40
Total fixed costs	$400,000

What is the break-even point in units?

A)6,667 B)12,000 C)13,333 D)20,000 E)10,000

14.

Foster Company makes power tools. The budgeted sales are $420,000, budgeted variable costs are $147,000, and budgeted fixed costs are $227,500. What is the break-even point in sales dollars?

A)$567,000 B)$650,000 C)$420,000 D)$350,000 E)$780,000

15.

Foster Company makes power tools. The budgeted sales are $420,000, budgeted variable costs are $147,000, and budgeted fixed costs are $227,500. What is the contribution margin?

A)$90,000 B)$36,000 C)$374,500 D)$273,000 E)$183,000

16.

Melody Company sells a product for $14, variable costs are $10 per unit, and total fixed costs are $5,040. What is the break-even point in units?

A)1,260 B)360 C)210 D)640 E)504