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30 Magnolia Company is considering the production and sale of a new product with the following sales and cost data: unit sales price, $340; unit
30 Magnolia Company is considering the production and sale of a new product with the following sales and cost data: unit sales price, $340; unit variable costs, $170; total fixed costs, $399,500; target pre-tax income of $600,100; and projected sales, $910,000. Using this data, calculate the following amounts and write your final answer on the line provided. To receive any partial credit, you must show your work. a) Contribution margin per unit = b) Contribution margin ratio = c) Break-even in units - d) Break-even in dollars e) Unit sales needed to generate target income = f) Dollar sales needed to generate target income = g) Margin of safety as percentage of sales (round to one decimal place) Short Answer Toolbar navigation BI V S 3 a) Contribution margin per unit = b) Contribution margin ratio = c) Break-even units = d) Break-even in dollars = Mc Graw Hill
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