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Contribution margin per unit Contribution margin ratio Fixed expenses Operating income Units sold Variable expenses Virginia runs her own hot dog stand on the U
Contribution margin per unit Contribution margin ratio Fixed expenses Operating income Units sold Variable expenses Virginia runs her own hot dog stand on the U of A campus. The monthly cost of the cart rental and business permit is $500. Virginia's contribution margin per unit is $1.00 and her contribution margin ratio is 50% How many hot dogs does Virginia need to sell each month to break even? 2. How much sales revenue does Virginia need to generate each month to break even? 1. 1. How many hot dogs does Virginia need to sell each month to break even? First identify the formula, then compute the breakeven points in units. (For amounts with a $0 balance, make sure to enter "0" in the appropriate cell.) Breakeven units Fixed expenses 500 $
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