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You want to sell sleds for $160 each. It takes 3 hours to make each sled. Each worker earns $25/hour. Each sled costs $15 in

You want to sell sleds for $160 each. It takes 3 hours to make each sled. Each worker earns $25/hour. Each sled costs $15 in raw materials. Your fixed costs are $20,000/month.

What is the contribution margin?

How many sleds must be sold each month to break even?

What is the break-even dollar amount?

How many sleds must be sold to earn a $10,000 profit each month?

What is your total monthly revenue if you want to earn a profit of $8,000?

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