Exercise 6-2 In the month of June, Jose Hebert's Beauty Salon gave 4,400 haircuts, shampoos, and permanents at an average price of $30. During the month, fixed costs $16,700 and variable costs were 75% of sales. Determine the contribution margin in dollars, per unit and as a ratio. (Round contribution margin per unit and contribution margin ratio to 2 decima 5.25 & 10.50.) Contribution margin Contribution margin per unit Contribution margin ratio Using the contribution margin technique, compute the break-even point in dollars and in units. (Round answers to 0 decimal places, e.g. 1,225.) Break-even point Break-even point units Margin of safety Margin of safety ratio % Compute the margin of safety in dollars and as a ratio. (Round answers to 0 decimal places, e.g. 1,225.) %
Exercise 6-2 In the month of June, Jose Hebert's Beauty Salon gave 4,400 haircuts, shampoos, and permanents at an average price of $30. During the month, fixed costs $16,700 and variable costs were 75% of sales. Determine the contribution margin in dollars, per unit and as a ratio. (Round contribution margin per unit and contribution margin ratio to 2 decima 5.25 & 10.50.) Contribution margin Contribution margin per unit Contribution margin ratio Using the contribution margin technique, compute the break-even point in dollars and in units. (Round answers to 0 decimal places, e.g. 1,225.) Break-even point Break-even point units Margin of safety Margin of safety ratio % Compute the margin of safety in dollars and as a ratio. (Round answers to 0 decimal places, e.g. 1,225.) %
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 2PA: A company manufactures and sells racing bicycles to specialty retailers. The Bomber model sells for...
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