Question
Fixed costs are $3,000, variable costs are $5 per unit. The company will manufacture 100 units and have a margin of $10. Using the cost-plus
Fixed costs are $3,000, variable costs are $5 per unit. The company will manufacture 100 units and have a margin of $10. Using the cost-plus pricing method, what will the cost per unit be?
Using the same example as above, what will the per unit selling price be?
Your company has fixed costs of $150,000 per year. The variable costs per unit in 2018 were $3 per unit, and 30,000 units were produced that year. Your company uses cost-based pricing and has a profit margin of $3 per unit. In 2019, production increased and your team had more experiencevariable costs went down to $2 per unit because of your teams higher skill and 65,000 units were produced that year. What is the change in selling price from 2018 to 2019?
Fixed Costs are $500,000. Per unit costs are $75, and the proposed price is $200. How many units must be sold to break even?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started