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XYZ Company manufactures PCs . The selling price of each P C is $ 2 5 0 , variable cost $ 5 0 , and

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XYZ Company manufactures PCs. The selling price of each PC is $250, variable cost $50, and fixed costs are $500,000. Calculate the following:
a) contribution margin
b) breakeven point in units
c) breakeven level of sales
BoriTech Company manufactures Microwaves. The selling price of each Microwaves is $100, Raw materials per unit is $25, overhead per unit is $5, direct labor per unit is $10, and total fixed costs are $2,000,000. Calculate the following:
a) Variable cost per unit
b) contribution margin per unit
c) breakeven point in units
d) breakeven level of sales
e) How many Microwaves BoriTech Company need to manufacture to achieve a desired income of $500,000.
35
IMEN-34I
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