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May you please assist with the following problem Patricia has just graduated university and is thinking about opening Surf Shop to sell surfboards. Basic surfboards

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May you please assist with the following problem

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Patricia has just graduated university and is thinking about opening "Surf Shop" to sell surfboards. Basic surfboards are manufactured by a local company and the cost to purchase each surfboard is $500. Patricia is quite artistically talented and plans to paint a scene on each surfboard so that each surfboard is unique. The estimated cost for paint and supplies is $50 per unit and the direct labor cost to do this is zero. Pat estimates that each unique surfboard can sell for $1,000.00. Other costs include rent for the shop of $34,000 annually and advertising of $26,000 annually. Patricia plans to hire one salesperson who will be paid a 15% sales commission for every surfboard that is sold. Required: You must show all your calculations in order to get marks. If you provide the answer only you will not receive any marks. 1 . What is the contribution margin per unit in $$. 2. What is the contribution margin ratio? 3. What is the break -even point in units? 4. What is the break -even point in sales dollars? 5 . How many units need to be sold to earn $ 180,0006. If Surf Shop is operating at 10 units below break-even what is the total loss? 7. If Surf Shop sells 500 surfboards what is the expected profit

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