Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Collin Ltd assembles calculators which sell for $20 each. The variable costs per calculator total $9 and fixed costs total $220 000 1. The contribution

image text in transcribed

Collin Ltd assembles calculators which sell for $20 each. The variable costs per calculator total $9 and fixed costs total $220 000 1. The contribution margin per unit is: 2. The break-even number of sales units is: 3. The break-even in sales dollars is: 4. The profit was $55 000. How many extra units above breakeven were sold? 5. What would the $profit be if we sold 30 000 units? 6. How much sales revenue was generated with the sale of 30 000 units? 7. If we prepared the contribution margin income statement, what would the total variable costs be for the sale of 30 000 calculators? 8. If the fixed costs reduced to $180 000 and the variable costs reduced to $8 per calculator, what would be the new contribution margin per unit? 9. The margin of safety: 10. A fixed cost is a cost that

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Survey Of Accounting

Authors: Carl S. Warren, Amanda Farmer

9th Edition

0357132599, 978-0357132593

More Books

Students also viewed these Accounting questions