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Sunn Company manufactures a single product that sells for $160 per unit and whose variable costs are $112 per unit. The company's annual fixed
Sunn Company manufactures a single product that sells for $160 per unit and whose variable costs are $112 per unit. The company's annual fixed costs are $734,400, (a) Compute the company's contribution margin per unit. 4 Contribution margin (b) Compute the company's contribution margin ratio. Numerator: (c) Compute the company's break-even point in units. Numerator: 1 Denominator: Contribution Margin Ratio Contribution margin ratio Denominator: (d) Compute the company's break-even point in dollars of sales. Numerator: Break-Even Units Break-even units Denominator: Break-Even Dollars = Break-even dollars
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