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Chapter 5: Applying Excel Data Unit sales 20,000 units Selling price per unit $60 per unit Variable expenses per unit $45 per unit Fixed expenses

Chapter 5: Applying Excel

Data
Unit sales 20,000 units
Selling price per unit $60 per unit
Variable expenses per unit $45 per unit
Fixed expenses $240,000
Enter a formula into each of the cells marked with a ? below
Review Problem: CVP Relationships
Compute the CM ratio and variable expense ratio
Selling price per unit ? per unit
Variable expenses per unit ? per unit
Contribution margin per unit ? per unit
CM ratio ?
Variable expense ratio ?
Compute the break-even
Break-even in unit sales ? units
Break-even in dollar sales ?
Compute the margin of safety
Margin of safety in dollars ?
Margin of safety percentage ?
Compute the degree of operating leverage
Sales ?
Variable expenses ?
Contribution margin ?
Fixed expenses ?
Net operating income ?
Degree of operating leverage ? Please provide the step by step method for all calculations

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