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Bluegill Company sells 11,300 units at $420 per unit. Fixed costs are $237,300, and operating income is $2,135,700. Determine the following: a. Variable cost per
Bluegill Company sells 11,300 units at $420 per unit. Fixed costs are $237,300, and operating income is $2,135,700. Determine the following:
a. Variable cost per unit | $ | |
b. Unit contribution margin | $ | per unit |
c. Contribution margin ratio | % |
Magnolia, Inc., manufactures bedding sets. The budgeted production is for 18,900 comforters this year. Each comforter requires 7 yards of material. The estimated January 1 beginning inventory is 4,030 yards with the desired ending balance of 4,800 yards of material. If the material costs $8.50 per yard, determine the materials budget for the year. If sales are $830,000, variable costs are 78% of sales, and operating income is $216,000, what is the contribution margin ratio? Oa. 22% Ob. 74% Oc. 26% Od. 78% The following data are for Trendy Fashion Apparel: North South Sales volume (units): Blouses 5,462 4,185 Skirts 3,213 7,706 Sales price per unit: Blouses $20 $15 Skirts $17 $17 Variable cost per unit Blouses $7 $7 Skirts $12 $12 Determine the contribution margin for the following: a. Skirts b. The South Region
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