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Ritchie Manufacturing Company makes a product that sells for $150 per unit. The company Incurs variable manufacturing costs of $76 per unit. Variable selling expenses
Ritchie Manufacturing Company makes a product that sells for $150 per unit. The company Incurs variable manufacturing costs of $76 per unit. Variable selling expenses are $14 per unit, annual fixed manufacturing costs are $352,000, and fixed seng and administrative costs are $266,000 per year. Required Determine the break-even point in units and dollars using each of the following approaches: a. Use the equation method. b. Use the contribution margin per unit approach. c. Prepare a contribution margin Income statement for the break-even sales volume. Complete this question by entering your answers in the tabs below. Reg A to Reg C B Determine the break-even point in units and dollars using the equation method, the contribution margin per unit approach and the contribution margin ratio approach. a. Break-even point in units Break-even point in dollars Contribution margin per unit Break-even point in units Break-even point in dollars Reg A to B Reqc > Ritchie Manufacturing Company makes a product that it sells for $150 per unit. The company Incurs variable manufacturing costs of $76 per unit. Variable selling expenses are $14 per unit, annual foed manufacturing costs are $352 000, and fixed seng and administrative costs are $266,000 per year. Required Determine the break-even point in units and dollars using each of the following approaches: a. Use the equation method. b. Use the contribution margin per unit approach. c. Prepare a contribution margin income statement for the break-even sales volume. Complete this question by entering your answers in the tabs below. Reg A to ReqC Prepare a contribution margin income statement for the break-even sales volume. RITCHIE MANUFACTURING COMPANY Contribution Margin Income Statement
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