Question
Awanita Enterprises sells computer flash drives for $1.75 per unit. Unit variable cost is $0.07. The breakeven point in units is 3,600, and expected sales
Awanita Enterprises sells computer flash drives for $1.75 per unit. Unit variable cost is $0.07. The breakeven point in units is 3,600, and expected sales in units are 4,600. What is the margin of safety in dollars?
A. $6,300
B. $70
C. $1,680
D. $1,750
2)
Colossal Beverages Company sells two products, A and B. Mist predicts that it will sell 2,500 units of A and 2,000 units of B during the next period. The unit contribution margins are $4.00 and $5.00 for products A and B, respectively. What is the weightedaverage unit contribution margin? (Round your answer to the nearest cent.
A. $4.56
B. $9.00
C. $4.44
D. $4.50
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started