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3. Bergman Inc. has the following product information available: Sales Price $20 per unit Variable costs $8 per unit Fixed Costs $18.00 Units produced and

3.Bergman Inc. has the following product information available:

Sales Price $20 per unit

Variable costs $8 per unit

Fixed Costs $18.00

Units produced and sold 12,000

  • Whatisthebreak-evenpointsinunits?
  • Howmanyunitsneedtobesoldinordertoearnatargetprofitof$180.000?

7. Destinos Company reported actual of $1,950.000, and fixed costs of $510,000. The contribution margin ratio is 30%.

Instructions: Compute the margin of safety in dollars and the margin of safety ratio.

8.Nadhill, Inc. provided the following information:

March April May

Projected merchandise purchases $76,000 $65,000 $70,000

Nadhill pays 40% of merchandise purchases in the month purchased and 60% in the following month. General operating expenses (all of which are paid in cash) are budgeted to be $23,000 per month Nadhill pays operating expenses in the month incurred.

Instructions: Calculate Nadihills budgeted cash disbursements for May.

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