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ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Please answer A, B, C,D. thank you
![Google manufactures Nest Hello smart doorbells and sells them to intermediaries in the channel of
distribution for $75. Each doorbell costs Google $20 to manufacture in addition to $750,000 in fixed
costs. Calculate the following:
a. contribution per unit and contribution margin percentage
b.
break-even volume in units and dollars
C.
unit volume and dollar sales necessary if Google's profit goal is $8 million
d. unit volume and dollar sales necessary if Google's profit goal is 20% profit on sales](https://content.bartleby.com/qna-images/question/dfc42f35-2a1c-4f48-859b-a123b744c455/90e1d701-6d86-408a-b088-e8b7dc611cfc/96r05u7_thumbnail.jpeg)
Transcribed Image Text:Google manufactures Nest Hello smart doorbells and sells them to intermediaries in the channel of
distribution for $75. Each doorbell costs Google $20 to manufacture in addition to $750,000 in fixed
costs. Calculate the following:
a. contribution per unit and contribution margin percentage
b.
break-even volume in units and dollars
C.
unit volume and dollar sales necessary if Google's profit goal is $8 million
d. unit volume and dollar sales necessary if Google's profit goal is 20% profit on sales
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