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CompuDesk, Inc., makes an oak desk specially designed for personal computers. The desk sells for $200. Data for last years operations follow: Units in beginning

CompuDesk, Inc., makes an oak desk specially designed for personal computers. The desk sells for $200. Data for last years operations follow:


Units in beginning inventory 0
Units produced 9,600
Units sold 8,300
Units in ending inventory 1,300
Variable costs per unit:
Direct materials $ 80
Direct labor 40
Variable manufacturing overhead 10
Variable selling and administrative 30


Total variable cost per unit $ 160




Fixed costs:
Fixed manufacturing overhead $ 220,000
Fixed selling and administrative 0


Total fixed costs $ 220,000






Required:
1.

Assume that the company uses variable costing. Compute the unit product cost for one computer desk.


Unit product cost $


2.

Assume that the company uses variable costing. Prepare a contribution format income statement for the year. (Input all amounts as positive values except losses which should be indicated by a minus sign.)


Variable Costing Income Statement
$
Variable expenses:
$


Fixed expenses:


$




3. What is the companys break-even point in terms of units sold? (Round your answer to the nearest whole number.)


Break-even point units

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