Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

P OWO 202 At the break-even point, a. contribution margin equals total fixed costs. b. contribution margin equals total variable costs. c. sales equal total

image text in transcribed
P OWO 202 At the break-even point, a. contribution margin equals total fixed costs. b. contribution margin equals total variable costs. c. sales equal total fixed costs. d. sales equal total variable costs. 2) Kelly Company produces flash drives for computers, which it sells for $20 each. Each flash drive costs $16 of variable costs to make. During April, 1,000 drives were sold. Fixed costs were $1,000 for the month. What is the contribution margin per unit? 3) Harvey, Inc. sells a product with a contribution margin of $10 per unit, fixed costs of $150,000, and sales for the current year of $200,000. How much is Harvey's break-even point? a. 9,200 units b. 12,500 units c. 15,000 units d. 16,667 units Address

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Students also viewed these Accounting questions