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18,600 40 $ 93.00 35.70 Number of batches sold Pints produced with each batch Selling price per batch Variable materials per batch Variable labor per
18,600 40 $ 93.00 35.70 Number of batches sold Pints produced with each batch Selling price per batch Variable materials per batch Variable labor per batch Variable Overhead per Batch Variable selling expenses per batch Variable administrative expenses per batch Total fixed selling expenses Executive Salaries Office Staff Salary Office Occupancy Fixed Factory Overhead 27.75 10.75 3.00 $ 2.50 $ 40,000 110,000 40,000 10,000 $ 30,000 Calculate the contribution margin ratio for LPIC. What does it tell you, and why is that information important? Calculate break-even in dollars and sales for LPIC. Why should management know what their break-even point is? Dollars Batches At the current sales volume, what is the margin of safety in batches and dollars? What is the significance of this? Dollars Batches Calculate the contribution margin ratio for LPIC. What does it tell you, and why is that information important? Calculate break-even in dollars and sales for LPIC. Why should management know what their break-even point is? Dollars Batches At the current sales volume, what is the margin of safety in batches and dollars? What is the significance of this? Dollars Batches
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