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Springhill Company prepared the following projected income statement: Sales (5,000 units @ $12 each) $60,000 Less: Variable Costs 45,000 Fixed Costs 6,900 51,900 Operating Income

  1. Springhill Company prepared the following projected income statement:

Sales (5,000 units @ $12 each) $60,000

Less: Variable Costs 45,000

Fixed Costs 6,900 51,900

Operating Income $ 8,100

  1. Calculate unit variable cost
  2. Calculate breakeven number of units
  3. Calculate the contribution margin ratio
  4. Calculate breakeven revenue _
  5. If Springhill wants to make a profit of $20,000, what revenue must it earn to do so? _______________

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