Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Price, Variable Cost per Unit, Contribution Margin, Contribution Margin Ratio, Fixed Expense For each of the following independent situations, calculate the amount(s) required. Required:

image text in transcribedimage text in transcribed

Price, Variable Cost per Unit, Contribution Margin, Contribution Margin Ratio, Fixed Expense For each of the following independent situations, calculate the amount(s) required. Required: 1. At the break-even point, Jefferson Company sells 115,000 units and has fixed cost of $349,000. The variable cost per unit is $0.15. What price does Jefferson charge per unit Round to the nearest cent. 2. Sooner Industries charges a price of $105 and has foxed cost of $378,500. Next year, Sooner expects to sell 16,000 units and make operating income of $174,000. What is the variable cost per unit? What is the contribution margin ratio? Round your variable cost per unit answer to the nearest cent. Enter the contribution margin ratio as a percentage, rounded to two decimal places. Variable cost per unit Contribution margin ratio % 3. Last year, Jasper Company earned operating income of $14,340 with a contribution margin ratio of 0.15. Actual revenue was $239,000. Calculate the total fixed cost. Round your answer to the nearest dollar, if required. 4. Laramie Company has variable cost ratio of 0.6. The fixed cost is $104,980 and 20,400 units are sold at breakeven. What is the price? What is the variable cost per unit? The contribution margin per unit? (Round answers to the nearest cent.) Price Variable cost per unit

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Cornerstones of Financial and Managerial Accounting

Authors: Rich, Jeff Jones, Dan Heitger, Maryanne Mowen, Don Hansen

2nd edition

978-0538473484, 538473487, 978-1111879044

More Books

Students also viewed these Accounting questions

Question

Describe Berkeleys objection to primary qualities.

Answered: 1 week ago

Question

Write a note on transfer policy.

Answered: 1 week ago

Question

Discuss about training and development in India?

Answered: 1 week ago

Question

Explain the various techniques of training and development.

Answered: 1 week ago

Question

Explain the various techniques of Management Development.

Answered: 1 week ago