Wang Co. manufactures and sells a single product that sells for $250 per unit; variable costs are $145 per unit. Annual fixed costs are $873,600. Current sales volume is $4,280,000. Compute the break-even point in dollars.

Multiple Choice

• $1,940,224.

• $1,512,232.

• $2,813,824.

• $4,286,025.

• $2,080,000.

Using the information below, calculate cost of goods sold for the period:

Sales revenues for the period	$	1,319,000
Operating expenses for the period		254,000
Finished Goods Inventory, January 1		51,000
Finished Goods Inventory, December 31		56,000
Cost of goods manufactured for the period		555,000

Multiple Choice

• $799,000.

• $515,000.

• $804,000.

• $403,000.

• $550,000.

Kent Co. manufactures a product that sells for $62.00 and has variable costs of $36.00 per unit. Fixed costs are $299,000. Kent can buy a new production machine that will increase fixed costs by $13,000 per year, but will decrease variable costs by $4.00 per unit. Compute the contribution margin per unit if the machine is purchased.

Multiple Choice

• $22.00.

• $30.00.

• $26.00.

• $40.00.

• $35.00.