Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In the month of June, Jose Hebert's Beauty Salon gave 3, 500 haircuts, shampoos, and permanents at an average price of $30. During the month,

image text in transcribed
In the month of June, Jose Hebert's Beauty Salon gave 3, 500 haircuts, shampoos, and permanents at an average price of $30. During the month, fixed costs were $16, 500 and variable costs were 75% of sales. Determine the contribution margin in dollars, per unit and as a ratio. (Round contribution margin per unit and contribution margin ratio to 2 decimal places, e.g.5.25 & 10.50.) Contribution margin $ Contribution margin per unit $ Contribution margin ratio % Using the contribution margin technique, compute the break-even point in dollars and in units. (Round answers to 0 decimal places, e.g. 1, 225.) Break-even point $ Break-even point units Compute the margin of safety in dollars and as a ratio. (Round answers to 0 decimal places, e.g. 1, 225.) Margin of safety $ Margin of safety ratio %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Using Financial Accounting Information The Alternative To Debits And Credits

Authors: Porter And Norton

1st Edition

1285128257, 978-1285128252

More Books

Students also viewed these Accounting questions

Question

Describe how arousal and expressive behaviors interact in emotion.

Answered: 1 week ago

Question

Explain the various methods of job evaluation

Answered: 1 week ago

Question

Differentiate Personnel Management and Human Resource Management

Answered: 1 week ago

Question

Describe the functions of Human resource management

Answered: 1 week ago