Question
Question 4. 4. (TCO 4) Johnson Company produces and sells a single product whose selling price is $80.00 per unit and whose variable expense is
Question 4. 4. (TCO 4) Johnson Company produces and sells a single product whose selling price is $80.00 per unit and whose variable expense is $50.00 per unit. The company's total fixed costs for this operation are $270,000 per month. Please answer each of the following parts of this question and show all of your calculation work:
(a) What is the contribution margin ratio? (express your answer as a percentage to two decimal places) (5 points)
(b) How many units must be sold to break even for the month? (10 points)
(c) How many units must be sold to earn a profit of $240,000 for the month? (10 points) (Points : 25)
please show work
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