Given the following information for PVC Company: Total fixed costs $78,000 Unit variable costs $24 Unit selling price $36 Required: a. Compute the contribution margin per unit. b. Compute the contribution margin ratio. Compute the breakeven point in units. Compute the breakeven point in dollars. Answer: a. the contribution margin per unit = $36 - $24 = $12 per unit b. the contribution margin ratio = $12/$36 = 0.33 C. the breakeven point in units = $78,000/$12 = 6,500 units d the breakeven point in dollars = 6,500 units x $36 = $234,000