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Question 8 (12 marks) A company had the following results for this year: Sales (15,000 units) Variable expenses Fixed expenses Net profit $300,000 180,000 80,000
Question 8 (12 marks) A company had the following results for this year: Sales (15,000 units) Variable expenses Fixed expenses Net profit $300,000 180,000 80,000 $40,000 Answer the following questions independently. (a) What are the company's breakeven sales in dollars? (2 marks) (b) What are the company's breakeven sales in units? (2 marks) (c) What is the company's contribution margin in dollars? (2 marks) (d) What is the company's contribution margin ratio? (2 marks) (e) How many additional units must be sold to increase net profit from the current $40,000 to $100,000? (4 marks)
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