Question
Pam-Tees Company plans to sell 11,000 T-shirts at $15 each in the coming year. Product costs include: Direct materials per T-shirt $4.75 Direct labour per
Pam-Tees Company plans to sell 11,000 T-shirts at $15 each in the coming year. Product costs include:
Direct materials per T-shirt
| $4.75
|
Direct labour per Tshirt
| $2.25
|
Variable overhead per T- shirt
| $0.50 |
Total fixed factory overhead | $32,000 |
Variable selling expense is the redemption of a coupon, which averages $0.70 per T-shirt; xed selling and administrative expenses total $17,000.
Required:
Calculate the:
1. Variable product cost per unit
2. Contribution margin ratio (rounded to four signicant digits)
3. Total xed expense for the year
4. Break Even point in quantity (Q)
5. Margin of Safety in Quantity (Q)
Can you please provide me the answer as fast as you can please
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