Question
Based on the following information, complete the problems listed below on the Airwolf Helicopters Company. [In $ Dollars 000] Sales...$75,000 Basic Manufacturing Costs$30,000 General &
Based on the following information, complete the problems listed below on the Airwolf Helicopters Company. [In $ Dollars 000]
Sales…………………..…………………………….$75,000
Basic Manufacturing Costs……………………$30,000
General & Administrative Expense………..$12,000
# Units shipped…………………………………...15
Solve or answer the following 4 questions.
To solve these problems, assume:
(1) Basic Manufacturing Costs and General & Administrative Expenses are Fixed Costs;
(2) Contribution Margin Percentage = 60%.
Question 1: Break-even level in units?
Question 2: Break-even sales level?
Question 3: At the “Break-even sales level” what is the Total cost & break-down between fixed and variable costs?
Question 4: At the $75,000 sales level what is the Total cost & break-down between fixed and variable costs?
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Get StartedRecommended Textbook for
Financial Statement Analysis
Authors: K. R. Subramanyam, John Wild
11th edition
78110963, 978-0078110962
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