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Please answer letters e and f Cutlass Company's projected profit for the coming year is as follows: Per Unit Required: (a) Compute the variable cost
Please answer letters e and f
Cutlass Company's projected profit for the coming year is as follows: Per Unit Required: (a) Compute the variable cost ratio. Compute the contribution margin ratio. (b) Compute the breakeven point in units (c) Compute the breakeven point in sales dollars (d) How many units must be sold to earn a profit of $30,000 ? (e) Using the contribution margin ratio, compute the additional profit that Cutlass would earn if sales were $25,000 more than expected. (f) For the projected level of sales, compute the margin of safety in units and in sales dollars (g) Calculate the degree of operating leverageStep by Step Solution
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