Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Chilton, Incorporated, sold 1 1 , 6 0 0 units last year for $ 2 0 each. Variable costs per unit were $ 2 .
Chilton, Incorporated, sold units last year for $ each. Variable costs per unit were $ for direct materials, $ for direct labor, and $ for variable overhead. Fixed costs were $ in manufacturing overhead and $ in nonmanufacturing costs.
Required:
A What is the total contribution margin?
Note: Round your intermediate calculations to decimal places.
B What is the unit contribution margin?
Note: Round your answer to decimal places
C What is the contribution margin ratio?
Note: Round your intermediate calculations and final answer to decimal places.
D If sales increase by units, by how much will profits increase?
Note: Round your intermediate calculation to decimal places and final answer to the nearest dollar amount.
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