2. What are the average fixed costs/unit for a 12 oz. bag of Garlic & Pepper chips.

Ounces Sold 2,000,000 $1,120,000 Sales Revenue Variable Costs Direct Materials $45,999 Direct Labor $122,500 Variable Manufacturing a $84,950 Variable Selling and Admir $148,000 Total Variable Costs Contribution Margin Fixed Costs Manufacturing Costs $200,000 S&A Costs $25,000 Total Fixed Costs Operating Income $401,449 $718,551 $225,000 $493,551 Variable S&A drops 10% on this special order