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Question 3. In preparation for the next year's operations management, Metal Incorporation came up with the following estimates. Sales (350,500 units) Direct Materials Direct Labor
Question 3. In preparation for the next year's operations management, Metal Incorporation came up with the following estimates. Sales (350,500 units) Direct Materials Direct Labor (variable) Variable Manufactoring Overhead Fixed Manufacturing Overhead Variable Selling & Administrative Expenses Fixed Selling & Administrative Expenses Prepare the following: Total Per Unit BD 1,950,781 | BD 62.210 BD 300,549 BD 20.500 BD 50,600 BD 2.800 BD 75,000 BD 3.500 BD 90,500 BD 5.000 BD 150,050 BD 6.000 BD 70,500 Bd 1.800 a) Contribution margin in units and ratio. (4 Marks) b) Break even in dollars and Unit sales (4 marks) c) Margin of safety in percentage and amount (4 Marks) d) In the case of a total net income of BD 780,000 what will the degree of perating leverage be? (2 Marks)
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