Cost Behavior Analysis at Apple Inc.

Requirements:

1. Classify costs into fixed and variable categories for Apple's product development division.

Cost Element	Amount ($)
Fixed Costs	25,000,000
Variable Costs	1,500,000 per quarter

2. Calculate the contribution margin and contribution margin ratio for different product lines.
3. Determine the breakeven point in units and dollars based on different pricing strategies ($200, $300, and $400 per device).
4. Recommend pricing and cost control strategies to maximize profitability during different fiscal quarters.