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Pharoah Bucket Co., a manufacturer of rain barrels, had the following data for 2019. Sales 2090 units sales price 55 per unit variable cost 33
Pharoah Bucket Co., a manufacturer of rain barrels, had the following data for 2019.
Sales | 2090 | units |
sales price | 55 | per unit |
variable cost | 33 | per unit |
fixed cost | 22990 |
Already solved:
Break even point = 57475
margin of safety = 57475
margin of safety ration = 50%
Needs solving:
1. if the company wishes to increase its total dollar contribution margin by 30% in 2020, by how much will it need to increase its sales if selling price per unit, variable price per unit and total fixed costs remain constant?
Total increase in sales required = ?
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