How to solve

Bill Johnson, sales manager, and Diane Buswell, controller, at Current Designs are beginning to analyze the cost considerations for one

of the composite models of the kayak division. They have provided the following production and operational costs necessary to

produce one composite kayak.

Bill and Diane have asked you to provide a cost$-$volume$-$profit analysis, to help them finalize the budget projections for the upcoming

year. Bill has informed you that the selling price of the composite kayak will be $$2,400.$

$($a$)$

Calculate unit variable costs.

Unit variable costs $

per unit

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