1. What level of output would generate a net income of $15,000 if a product sells for $24.99, has unit variable costs of $9.99, and total fixed costs of $55,005? (3 mark)

2. If the break-even point is 15,000 units, the selling price is $95, and the unit variable cost is $75, what are the company's total fixed costs? (3 mark)

3. Furry Friends food manufacturing has compiled the following estimates for operations.

Sales: $762,000

Fixed cost: $150,000

Total variable cost: $590,000

1. Find the total cost (3 mark)
2. Find the net income. (3 mark)

4. Aman is thinking of starting up a personal financial service. The basic office supplies will cost $3250 and the variable cost for each consultation is $10.25. He plans to bill each client $50 per consultation.

1. What is the break-even quantity of consultations for Amans personal financial consultation? (3 marks)
2. If Amans goal is $1000, how many customers would he need to reach his goal? (3 marks)
3. Find the contribution margin and contribution rate. (3 marks)

5. Helen is thinking of running a massage therapy business. Her office rent will be $2500 per month, and she needs at least one secretary with the $36000 annual salary. She thinks of advertising her business for 3 months with the cost of $4500.

1. If basic office supplies would cost her $15 per customer, and she gets 1000 customers per month, how much should she charge each customer so that she can make $3500 a month?

(4 mark)

2. How much profit will she earn if she charges each customer $50? (3 marks)

6. A toy company produces bath tub toys for $8 per pack of duck, frog and turtle (each pack has a duck, a turtle and a frog). The rent and supply costs for company is $6500/month. The material cost for each duck, turtle and frog are 40, 45, and 65 cents respectively.

1. Find the revenue if 10000 packs are produced and sold. (3 marks)
2. Find the total variable cost, and the total cost. (3 marks)
3. Find the break-even point. (3 marks)
4. Find the profit if 20000 packs are produced, but only 15000 packs are sold. (3 marks)

7. Walmart just acquired an HP Pavilion computer for its electronics department. The net price on the computer is $260.40 and Walmart receives discounts of 40% and 38%.

1. What single discount is equivalent to the two discounts? (3 mark)
2. What is the total discount amount? (3 marks)

8. Mountain Equipment Co-op has purchased a college backpack for $29 after discounts of 30%, 8%, and 13%.

1. What is the list price for the backpack? (3 marks)

9. A snowboard has a cost of $79.10, expenses of $22.85, and profit of $18.00.

a. What is the regular unit selling price? (2 mark)

b. What is the markup amount? (2 mark)

c. What is the markup on cost percentage? (1 mark)

d. What is the markup on selling price percentage? (1 mark)

10. Daisy is trying to figure out how much negotiating room she has in purchasing a new car. The car has a price of $34,995.99. She has learned from an industry insider that most car dealerships have a 20% markup on selling price. What does she estimate the dealership paid for the car? (4 marks)

11. What is the selling price of an item with $150 cost and a mark-up equal to 35% of the selling price? (3 marks)

12. White watch is selling a new watch for $680 less 20 less 15. Black and white watch is selling the same watch for $650 less 18. What extra discount rate should Black and white watch give to customers to match the price with white watch? (4 marks)

13. Aquaq3 has received an invoice of $10500.00 with terms 5/10 2/20 n/30 E.O.M on April 20^th.

1. How much should they pay on May 5^thif they want to reduce the outstanding balance by $3000.00? (3 marks)
2. How much more should they pay if they want to reduce the outstanding balance to 4500.00? (4 marks)

14. Dan deposited $1600 into a savings account on July 20, 2018 that earned simple interest of 1.05%. How much interest was earned and paid into Dans account on December 20th, 2018? (3 marks)

15. Interest of $20.95 is earned at 3.15% on a deposit of $2660 is how many months? (3 marks)

16. What amount of money will accumulate to $880.57 in 280 days at 2.5%? (3 marks)

17. Debt payments of $600 in two months and $800 in five months are schedule to be due. If interest at 6.2% is to be allowed,

1. What single payment today is required to settle the two scheduled payments? (3 marks)
2. What single payment in 6 months from today is required to settle the two scheduled payments? (3 marks)

18. A loan payment of $4200 was due 3 months ago, and another payment of $1800 is due in 6 months from now. When should a single payment of 5800.00 be paid to settle the debt if interest is to be 2%? (5 marks)

19. You are looking at a businesss numbers and you see that the contribution rate is 78%, selling price is $50, and the break-even volume is 2980. What is the fixed cost of this business? (3 marks)

How many items should they sell to earn a $5000.00 profit? (4 marks)