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Question 31 Waterway Company has a contribution margin per unit of $35 and a contribution margin ratio of 40%. How much is the selling price of each unit? $87.50. $58.33. $14.00. O Cannot be determined without more information.Question 32 The following information is available for Waterway Company: Sales $343000 Total fixed expenses $51000 Cost of goods sold 119000 Total variable expenses 98000 Which amount would you find on Waterway's CVP income statement? O contribution margin of $245000 O contribution margin of $194000 O gross profit of $224000 O gross profit of $194000Question 33 Marigold Company has the following data: Variable costs are 80% of the unit selling price. The contribution margin per unit is $440. The fixed costs are $606000. Which of the following expresses the break-even point in dollars? O 0.20 x 606000 = X O 606000 + 0.80 = X ($606000 + $440) x 0.80 = X $606000 + 0.20 = XQuestion 34 Waterway Company produces flash drives for computers, which it sells for $20 each. Each flash drive costs $10 of variable costs to make. During April, 2900 drives were sold. Fixed costs for April were $9 per unit for a total of $26100 for the month. If variable costs decrease by 20%, what happens to the break-even level of units per month for Waterway Company? O It is 20% higher than the original break-even point. O It decreases about 435 units. O It decreases about 522 units. O It depends on the number of units the company expects to produce and sell.Question 35 Sheffield Company manufactures a product with a unit variable cost of $41 and a unit sales price of $75. Fixed manufacturing costs were $80100 when 8900 units were produced and sold, equating to $9 per unit. The company has a one-time opportunity to sell an additional 1500 units at $56 each in an international market which would not affect its present sales. The company has sufficient capacity to produce the additional units. How much is the relevant income effect of accepting the special order? $61500 O $9000 $53400 $22500Question 36 Swifty Music produces 61000 blank CDs on which to record music. The CDs have the following costs: Direct Materials $10900 Direct Labour 1 5600 Variable Overhead 3100 Fixed Overhead T100 None of Swifty's xed overhead costs can be reducedI but another product could be made that would increase prot contribution by $3500 if the CDs were acquired externally. If cost minimization is the major consideration and the company would prefer to buy the CDs, what is the maximum external price that Swifty would be willing to accept to acquire the 01000 units externally? C} $35300 C) $33100 C) $33200 C) $40300 Question 37 Swifty's Fish House can produce and sell only one of the following two products: Fryer Contribution Hours Required Margin Per Unit Fried catfish $14 Fried grouper 4 $15 The company has fryer capacity of 11100 hours. How much will the contribution margin be if it produces only the most profitable product? O $44400 $33300 $51800 $11100Question 38 The cost to produce Part A was $4.20 per unit in 2019. During 2020, it has increased to $8.00 per unit. In 2020, Supplier Company has offered to supply Part A for $5.00 per unit. For the make-or-buy decision, O incremental revenues are $0.80 per unit. O incremental costs are $3.80 per unit. O net relevant costs are $3.80 per unit. O differential costs are $3.00 per unit.Question 39 Vaughn Company uses 11300 units of Part A in producing its products. A supplier offers to make Part A for $7. Vaughn Company has relevant costs of $9 a unit to manufacture Part A. If there is excess capacity, the opportunity cost of buying Part A from the supplier is O $0. $22600. O $79100. $101700.Question 40 Marigold Industries can produce 600 units of a necessary component part with the following costs: Direct Materials $75600 Direct Labour 20200 Variable Overhead 60100 Fixed Overhead 10500 If Marigold Industries purchases the component externally, $3500 of the fixed costs can be avoided. Below what external price for the 600 units would Marigold choose to buy instead of make? $95800 $166400 O $155900 $159400