Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A B $ CA 700 1,400 $ 4,700 $ 1,880 273,000 1,410,000 630,000 28,200,000 5,000 3,750 1,187,500 1,875,000 Sales price per unit Variable costs per

image text in transcribedimage text in transcribed

A B $ CA 700 1,400 $ 4,700 $ 1,880 273,000 1,410,000 630,000 28,200,000 5,000 3,750 1,187,500 1,875,000 Sales price per unit Variable costs per unit Total fixed costs Target profit Calculate: Contribution margin per unit Contribution margin ratio Required units to break even Required sales dollars to break even Required units to achieve target profit Windy Town Company sells a product with a contribution margin ratio of 20%. Fixed costs are 5726 per month. What amount of sales (in dollars) must Windy Town Company have to break even? If each unit sells for $30, how many units must be sold to break even? Begin by showing the formula and then entering the amounts to calculate the sales in dollars Windy Town must have to break even. (Abbreviation used: CM = contribution margin. Complete all input fields. Enter a "0" for items with a zero value.) = Required sales in dollars

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting History And The Rise Of Civilization, Volume II

Authors: Gary Giroux

1st Edition

163157793X, 9781631577932

More Books

Students also viewed these Accounting questions