Exercise 19.2 In the month of June, Jose Herberts Beauty Salon gave 4,000 haircuts, shampoos, and hair colorings at an average price of $30 each. During the month, fixed costs were $16,800 and variable costs were 75% of sales. Instructions

a. Determine the contribution margin in dollars, per unit and as a ratio.

b. Using the contribution margin technique, compute the break-even point in dollars and in units.

c. Compute the margin of safety in dollars and as a ratio.