Problem 2: Cox Company produces and sells toasters. The following cost information assumes a production and sales volume of 12,000 units:

Required:

1. Compute the budgeted selling price per unit assuming Cox uses a cost-plus pricing strategy and a markup equal to 50% of production cost.
2. Compute the firm's total fixed costs.
3. Compute the firm's contribution margin per unit given the budgeted selling price you computed in Requirement 1.
4. Compute the firm's breakeven point in units and dollars.
5. Using the unit contribution margin, compute the firm's estimated profit if 12,000 units are sold.