Question
B&B produces and sells one single product: BT5. The production capacity of B&B is 80,000 units. Annual sales volume expected in 2021 is 68,000 units.
B&B produces and sells one single product: BT5. The production capacity of B&B is 80,000 units. Annual sales volume expected in 2021 is 68,000 units.
The following information is estimated for 2021: selling price per unit: $48, variable cost per unit: $36, and annual fixed costs: $420,000.
- What is the available production capacity?
- What is the contribution margin per unit?
- What is the contribution margin ratio?
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Fundamentals Of Investments
Authors: Bradford Jordan, Thomas Miller
4th Edition
0073314978, 9780073314976
