#1 Suppose a company can make a unit of product for $7 in variable labor and materials and sell it for $10. A. Determine the contribution and contribution margin. B. What is the breakeven sales level in units and dollars for the company if the firm has fixed costs of $1,800 per month?
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#1 Suppose a company can make a unit of product for $7 in variable labor and materials and sell it for $10.
A. Determine the contribution and contribution margin.
B. What is the breakeven sales level in units and dollars for the company if the firm has fixed costs of $1,800 per month?
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- If a company has fixed costs of $6.000 per month and their product that sells for $200 has a contribution margin ratio of 30%, how many units must they sell in order to break even? A. 100 B. 180 C. 200 D. 2,000Suppose that a company has fixed costs of $23 per unit and variable costs $9 per unit when 20,000 units are produced. What are the fixed costs per unit when 16,000 units are produced? Round your answer to the nearest cent. Fixed costs per unit $fill in the blank 1a.Explain why contribution margin per unit becomes profit per unit above the break-even point b. If the contribution margin per unit is $7 and the break-even point is 10,000 units, how much profit will a firm make if 15,000 units are sold? c.What is the variable cost ratio? The contribution margin ratio? How are the two ratios related?
- 12.) If 12,500 units are sold, what is the total manufacturing overhead costs to support this production level? What is the manufacturing overhead cost per unit? 13.) If the selling price is P2,200 per unit, what is the contribution margin per unit sold?Suppose the marginal cost and marginal revenue (in ¢000) for a product produced by a company is estimated to be MC=q+35 MR=560+22q-q^2 Where q is the quantity produced and the firm’s break-even is 5 units per week You are Required to I. determine the total cost and the total revenue function in terms of q. II. estimate the output at which profit is maximize III. calculate the maximum profitFixed cost = 10,000 Material cost per unit = 0.15 Labor cost per unit = 0.10 Revenue per unit = 0.65 Suppose ABC company sells all that it produces, profit is calculated by subtracting the fixed cost and total variable cost from total revenue.Give a mathematical model for calculating profit and implement your model from part in Excel. If ABC company makes 12,000 units of the new product, what is the resulting profit? Excel format required
- 8. A company has return on sales of 20%, income of $50,000, selling price of $10, and a contribution margin of 40%.A. What are fixed costs?B. What are variable costs per units?C. What are sales in units?D. What are sales in dollars? *Suppose that a company has fixed costs of $22 per unit and variable costs $9 per unit when 18,000 units are produced. What are the fixed costs per unit when 14,400 units are produced? Round your answer to the nearest cent. Fixed costs per unit _____16.) Given the following information [daily basis] on a manufacturing company, calculate (a) contribution margin on a per unit basis, (b) contribution margin on a total dollar basis, and (c) fixed costs. Average selling price for manufacturer’s product = $5.00 Daily Break-even level [units] = 10,000 Variable cost per unit = $0.50 17.) Assume that the variable cost per unit in problem #16 = standard cost per unit and that daily break-even level of units = amount actually purchased. If the actual cost per unit at the time of purchase increases 10%, what is the variance for total variable cost? Is financial impact positive or negative?
- Q2. Suppose that Nafitol Company has a fixed cost of ETB 35,000 and VC of ETB 1.75 per unit for its products. Let us further consider that selling price is birr 2.7 per unit. Required: A. Write the revenue and the cost equation of the company B. At what level of production output is the company Break-even? C. What is the amount of the revenue when the company produces 300,000 units? D. If the company plans to earn a profit of 7000, what amount of quantity has to be produced?A company’s product sells for $150 and has variable costs of $60 associated with the product. What is its contribution margin per unit?A. $40B. $60C. $90D. $1501) What level of output would generate a profit of $15,000 if a product sells for $24.99, has unit variable costs of $9.99, and total fixed costs of $55,005?