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Company: Alpha Industries Scenario: Cost-Volume-Profit Analysis Data: Fixed Costs: $400,000 Variable Cost per Unit: $20 Selling Price per Unit: $50 Units Sold: 15,000 Requirements: Calculate
- Company: Alpha Industries
Scenario: Cost-Volume-Profit Analysis
Data:
- Fixed Costs: $400,000
- Variable Cost per Unit: $20
- Selling Price per Unit: $50
- Units Sold: 15,000
Requirements:
- Calculate the contribution margin per unit.
- Determine the break-even point in units.
- Calculate the total profit.
- Analyze the impact of a 10% increase in variable costs on the break-even point.
- Suggest ways to improve the contribution margin.
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