Using the information provided, answer the following questions.

1. Christy's Cookie Company gives you the following information so that you can help them perform a volume cost analysis. Use the following information to calculate the contribution margin for cookie pies only.

select one:

a. $700

b. $6,300

c. $4.44

d. $0.56

2. Christy's Cookie Company gives you the following information so that you can help them perform a volume cost analysis. Assume Christy wants to make a profit of 10% of total revenue for cookie pies only. Calculate the volume she needs to sell to achieve this goal.

select one:

a. 3,604

b. 369,231

c. 1,352

d. 1,523

3. Christy's Cookie Company gives you the following information so that you can help them perform a volume cost analysis. Suppose Christy wants to make a profit of $10,000 from cookies only (not cookie pies). Calculate the volume she needs to sell to achieve this goal.

a. 3,604

b. 266,667

c. 377,778

d. 400,000

e. 4,055

4. Christy's Cookie Company gives you the following information so that you can help them perform a volume cost analysis. Christy has to buy a new piece of equipment (all attributed to cookie pies) that will increase her equipment cost to $12,000. What is her break even volume of cookie pies?

a. 4,055

b. 400,000

c. 3,604

d. 1,523

Revenue Individual Cookies $100,000 (400,000 sold at $0.25 each) Cookie Pies $25,000 (5,000 sold at $5 each) Total Revenue $125,000 Cost of Goods Sold Individual Cookies $40,000 Cookie Pies $2,500 Gross Margin $82,500 Operating Expenses Labor $16,200 (($0.04 per unit) Paper goods $8,100 ($0.02 per unit) Lease payment $24,000 Equipment costs $6,000 Total operating'expenses $54,300 Net Profit before taxes $28,200 Revenue Individual Cookies $100,000 (400,000 sold at $0.25 each) Cookie Pies $25,000 (5,000 sold at $5 each) Total Revenue $125,000 Cost of Goods Sold Individual Cookies $40,000 Cookie Pies $2,500 Gross Margin $82,500 Operating Expenses Labor $16,200 (($0.04 per unit) Paper goods $8,100 ($0.02 per unit) Lease payment $24,000 Equipment costs $6,000 Total operating'expenses $54,300 Net Profit before taxes $28,200