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Hermosa, Incorporated produces one model of mountain bike. Partial information for the company follows: Number of bikes produced and sold 500 830 930 Total costs

Hermosa, Incorporated produces one model of mountain bike. Partial information for the company follows:

Number of bikes produced and sold 500 830 930

Total costs

Variable costs $ 121,000 $ ?

Fixed costs per year ?

Total costs ?

Cost per unit

Variable cost per unit ?

Fixed cost per unit ?

Total cost per unit ? $ 530.75

Required:

1. Complete the table.

2. Calculate Hermosas contribution margin ratio and its total contribution margin at each sales level indicated in the table assuming the company sells each bike for $750.

4. Calculate Hermosas break-even point in units and sales revenue.

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