Question
coolpak company produced and sold 50,000 backpacks during the year just ended at an average price of $30 per unit. Variable costs Including both manufacturing
coolpak company produced and sold 50,000 backpacks during the year just ended at an average price of $30 per unit. Variable costs Including both manufacturing and marketing costs) were $14. Total fixed cost amounted to $210,000. There was no year end work in process inventory.
A.Determine Coolpaks unit contribution
B Determnine Coolpaks contribution margin ratio.
C. Compute Coolpaks break even point in units for the year
D. compute coolpaks break even point in sales dollars for the year
E. What is the number of sales units required to earn a pretax income of 120,000 for the year.
F. Compute the company pretax income for the year.
G. What is the company margin of safety in units and in percentage
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