Question
2. Shelhorse Corporation produces and sells a single product. Data concerning that product appear below: Per Unit Percent of Sales Selling price $ 170 100
2.
Shelhorse Corporation produces and sells a single product. Data concerning that product appear below:
|
| Per Unit | Percent of Sales |
| ||||
| Selling price | $ | 170 |
|
| 100 | % | |
| Variable expenses |
| 68 |
|
| 40 | % | |
| Contribution margin | $ | 102 |
|
| 60 | % | |
Fixed expenses are $346,000 per month. The company is currently selling 4100 units per month.
Required:
| Calculate the Following: |
|
| Contribution Margin Ratio: | % |
| Break Even point in Sales Dollars (rounded to the whole dollar) | $ |
| Margin of Safety in Units (nearest whole units) | Units |
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DCAA Contract Audit Manual Volume 1
Authors: Defense Contract Audit Agency
1st Edition
B08HTL19V5, 979-8684992995
