1.Teddy Dog Food Incorporated (TDFI) currently makes and sells one type and size of dog food, a 16 ounce bag of all-natural freeze-dried chicken. TDFI sells each bag of food for $10. The Variable Expense per bag of food is $6. Fixed Expenses per month total $300.

What is the total Contribution Margin required for TDFI to break even (result in a Net Operating Income = $0)?

$350

$750

$450

$300

2.Use the same facts as above: Teddy Dog Food Incorporated (TDFI) currently makes and sells one type and size of dog food, a 16 ounce bag of all-natural freeze-dried chicken. TDFI sells each bag of food for $10. The Variable Expense per bag of food is $6. Fixed Expenses per month total $300.

How many units(bags of dog food) must TDFI sell in order to break even (result in a Net Operating Income = $0)?

300

75

750

10

3.Use the same facts as above: Teddy Dog Food Incorporated (TDFI) currently makes and sells one type and size of dog food, a 16 ounce bag of all-natural freeze-dried chicken. TDFI sells each bag of food for $10. The Variable Expense per bag of food is $6. Fixed Expenses per month total $300.

Calculate the sales dollars needed for TDFI to break even (resulting in a Net Operating Income = $0).

$300

$75

$750

$100

4.Use the same facts as above: Teddy Dog Food Incorporated (TDFI) currently makes and sells one type and size of dog food, a 16 ounce bag of all-natural freeze-dried chicken. TDFI sells each bag of food for $10. The Variable Expense per bag of food is $6. Fixed Expenses per month total $300.

How many units(bags of dog food) must TDFI sell in order to reach a target profit of $200?

500

125

1250

200

5.Use the same facts as above: Teddy Dog Food Incorporated (TDFI) currently makes and sells one type and size of dog food, a 16 ounce bag of all-natural freeze-dried chicken. TDFI sells each bag of food for $10. The Variable Expense per bag of food is $6. Fixed Expenses per month total $300.

Calculate the sales dollars needed for TDFI to reach a target profit of $200.

$500

$125

$1250

$200