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All Fruit Company bottles and distributes Fruit Ade, a fruit drink. The beverage is sold for 50 cents per 16-gram bottle to retailers, who charge
All Fruit Company bottles and distributes Fruit Ade, a fruit drink. The beverage is sold for 50 cents per 16-gram bottle to retailers, who charge customers 70 cents per bottle. For the year 2014, management estimates the following revenues and costs: Compute the contribution margin in total dollars, per unit and ratio Compute the break-even point in units and dollars Compute the contribution margin ratio and the margin of safety ratio. Determine the sales dollars required to earn net income of $624,000
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