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Hawk Homes, Incorporated makes one type of birdhouse that it sells for $ 2 9 . 7 0 each. Its variable cost is $ 1
Hawk Homes, Incorporated makes one type of birdhouse that it sells for $ each. Its variable cost is $ per house, and its
fixed costs total $ per year. Hawk currently has the capacity to produce up to birdhouses per year, so its relevant
range is to houses.
Required:
Prepare a contribution margin income statement for Hawk assuming it sells birdhouses this year.
Without any calculations, determine Hawk's total contribution margin if the company breaks even.
Calculate Hawk's contribution margin per unit and its contribution margin ratio.
Calculate Hawk's breakeven point in number of units and in sales revenue.
Suppose Hawk wants to earn $ this year. Determine how many birdhouses it must sell to generate this amount of
profit.
Complete this question by entering your answers in the tabs below.
Prepare a contribution margin income statement for Hawk assuming it sells birdhouses this year.
Note: Do not round your intermediate calculations. Enter your answers rounded to decimal places.
HAWK HOMES, INCORPORATED
Contribution Margin Income Statement
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