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Kootenay Bicycle Company has fixed costs of $850,000. Each bike sells for $3,500. a) Calculate the Break even point in units if variable costs are
Kootenay Bicycle Company has fixed costs of $850,000. Each bike sells for $3,500. a) Calculate the Break even point in units if variable costs are $2,750 (2 marks) b) Assuming they sell 3,000 units and variable costs are $3,100, what is their margin of safety in dollars? (2 marks) c) Assuming they have a margin of safety of $270,000 when selling 3,200 units, what is the variable cost per unit
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