Question
Hudson co. reports the contribution margin income statement for 2019. If the company raises its selling price to $400 per unit. 1. Compute Hudson Co.'s
Hudson co. reports the contribution margin income statement for 2019. If the company raises its selling price to $400 per unit. 1. Compute Hudson Co.'s contribution margin per unit. 2. Compute Hudson Co.'s contribution margin ratio. 3. Compute Hudson Co.'s break-even point in units. 4. Compute Hudson Co.'s break-even point in sales dollars.
Contribution Margin Income Statement For Year Ended December 31, 2019 Sales (11,100 units at $375 each) Variable costs (11,100 units at $300 each) Contribution margin Fixed costs Pretax income $4,162,500 3,339,000 832,509 660,000 172,500 If the company raises its selling price to $400 per unit. 1. Compute Hudson Co's contribution margin per unit. 2. Compute Hudson Co.'s contribution margin ratio. 3. Compute Hudson Co.'s break-even point in units. 4. Compute Hudson Co.'s break-even point in sales dollars. 1. per unit 2. % Contribution margin Contribution margin ratio Break-even point Break-even sales dollars 3. units
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Financial Reporting Exam Kit Kaplan Approved Acca
Authors: Kaplan Publishing
1st Edition
9781787404137
