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Product Cott has sales of $200,000, a contribution margin of 20%, and a margin of safety of $80,000. What is Cott's fixed cost? Snyder
- Product Cott has sales of $200,000, a contribution margin of 20%, and a margin of safety of $80,000. What is Cott's fixed cost?
- Snyder Co. manufactures fans with direct material costs of $10 per unit and direct labor of $7 per unit. A local carrier charges Snyder $5 per unit to make deliveries. Sales commissions are paid at 10% of the selling price. Fans are sold for $100 each. Indirect factory costs and administrative costs are $6,800 and $37,200 per month, respectively. How many fans must Synder produce to break even?
- Bella sells vacuums and shampooers. The vacuums each sell for $60 with variable costs of $20, and the shampooers each sell for $100 with variable costs of $60. The fixed costs for the store are $80,000. The shampooers make up 1,200 of the units sold, while the vacuums make up the other 2,800 of the units sold. What is Bella's breakeven point in units?
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Step: 1
1 To calculate Cotts fixed cost we can use the formula Fixed Cost Sales Variable Cost Contribution Margin Given Sales 200000 Contribution Margin 20 Fi...Get Instant Access to Expert-Tailored Solutions
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Step: 2
Step: 3
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