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Problem 3-18A (Algo) Analyzing change in sales price using the contribution margin ratio LO 3-1, 3-2 Rundle Company reported the following data regarding the product
Problem 3-18A (Algo) Analyzing change in sales price using the contribution margin ratio LO 3-1, 3-2 Rundle Company reported the following data regarding the product it sells: Sales price $ 64 Contribution margin ratio 2596 Fixed costs $384,000 [ Required Use the contribution margin ratio approach and consider each requirement separately. a. What is the breakeven point in dollars? In units? b. To obtain a profit of $40,000. what must the sales be in dollars? In units? c. If the sales price increases to $80 and variable costs do not change, what is the new breakeven point in dollars? In units? Break-even point in dollars _ Breakeven point in units _ Sales in dollars _ Sales in units _ Break-even point in dollars _ Break-even point in units a. b. C
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