Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In the month of June, Jose Hebert's Beauty Salon gave 3,900 haircuts, shampoos, and permanents at an average price of $40. During the month, fixed

image text in transcribed
image text in transcribed
In the month of June, Jose Hebert's Beauty Salon gave 3,900 haircuts, shampoos, and permanents at an average price of $40. During the month, fixed costs were $16,800 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, eg, 5.25 & 10.50.) Contribution margin Contribution margin per unit $ Contribution margin ratio 96 Using the contribution margin technique, compute the break-even point in dollars and in units. (Round answers to decimal places, eg. 1.225.) Break-even points Break-even point units eTextbook and Media Compute the margin of safety in dollars and as a ratio. (Round answers to decimal places, eg. 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

Managerial Accounting Tools for business decision making

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

6th Edition

978-0470477144, 1118096894, 9781118214657, 470477148, 111821465X, 978-1118096895

More Books

Students also viewed these Accounting questions

Question

Distinguish between short-term and long-term goals.

Answered: 1 week ago