Managerial Accounting: The Cornerstone of Business Decision-Making
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN: 9781337115773
Author: Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher: Cengage Learning
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Hudson Company reports the following contribution margin income statement.
HUDSON COMPANY
Contribution Margin Income Statement
For Year Ended December 31
Sales (11,300 units at $175 each)
Variable costs (11,300 units at $140 each)
Contribution margin
Fixed costs
Income
1. Compute break-even point in units.
2. Compute break-even point in sales dollars.
1. Break-even units
2. Break-even sales dollars
units
$ 1,977,500
1,582,000
395,500
315,000
$ 80,500
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Transcribed Image Text:Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (11,300 units at $175 each) Variable costs (11,300 units at $140 each) Contribution margin Fixed costs Income 1. Compute break-even point in units. 2. Compute break-even point in sales dollars. 1. Break-even units 2. Break-even sales dollars units $ 1,977,500 1,582,000 395,500 315,000 $ 80,500 < Prev 2 of 4 MacBook Air Next >
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