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In the month of June, Jose Hebert's Beauty Salon gave 4,200 haircuts, shampoos, and permanents at an average price of $25. During the month, fixed
In the month of June, Jose Hebert's Beauty Salon gave 4,200 haircuts, shampoos, and permanents at an average price of $25. During the month, fixed costs were $16,800 and variable costs were 75% of sales. (a) Your answer is correct. Determine the contribution margin in dollars, per unit and as a ratio. (Round contribution margin and contribution margin per unit to 2 decimal places, e.g. 5.75.) Contribution margin 26250 Contribution margin per unit 6.25 Contribution margin ratio 25 % (b) Your answer is correct. Using the contribution margin technique, compute the break-even point in dollars and in units. Break-even point ta $ 67,200 Break-even point 2688 units (c) Compute the margin of safety in dollars and as a ratio. Margin of safety $ Margin of safety ratio %
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