XYZ Inc. sells a single product for $40 per unit. Variable production costs are $28 per unit. Fixed overhead costs amount $10,000 per month. Variable selling costs are $4 per unit. Fixed selling costs are $5,000 per month. Last month, the company produced 10,000 units and sold 8,000 units. What is ABC's variable expense ratio?

Multiple Choice

• 40%
• 20%
• 80%
• 10%

XYZ Inc. sells a single product for $27 per unit. Variable production costs are $18 per unit. Fixed overhead costs amount $50,000 per month. Variable selling costs are $3 per unit. Fixed selling costs are $30,000 per month. Last month, the company produced 10,000 units and sold 8,000 units. How many units must the company sell to achieve a pre-tax profit of $910,000?

Multiple Choice

• 20,000
• 126,667
• 130,000
• 165,000

XYZ Inc. sells a single product for $40 per unit. Variable production costs are $28 per unit. Fixed overhead costs amount $10,000 per month. Variable selling costs are $4 per unit. Fixed selling costs are $5,000 per month. Last month, the company produced 10,000 units and sold 8,000 units. What is ABC's contribution margin ratio?

Multiple Choice

• 40%
• 20%
• 70%
• 10%

XYZ Inc. sells a single product for $10 per unit. Variable production costs are $5 per unit. Fixed overhead costs amount $10,000 per month. Variable selling costs are $1 per unit. Fixed selling costs are $5,000 per month. Last month, the company produced 10,000 units and sold 7,000 units. What was ABC's net operating income?

Multiple Choice

• $9,000
• $22,000
• $27,000
• $13,000

XYZ Inc. sells a single product for $30 per unit. Variable production costs are $9 per unit. Fixed overhead costs amount $52,000 per month. Variable selling costs are $6 per unit. Fixed selling costs are $8,000 per month. Last month, the company produced 10,000 units and sold 8,000 units. What is the company's breakeven point in units (rounded)?

Multiple Choice

• 4,000
• 2,667
• 3,000
• 5,000