FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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How many units would have to be sold each month to attain a profit of 51600?
sales 608,000. Per unit 40
variable expenses 425600 per unit 28
contribition margin 182400 per unit 12
fixed expense 156,000
net operating income 26400
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- Margin of Safety The Rachel Company has sales of $500,000, and the break-even point in sales dollars is $365,000. Determine the company's margin of safety as a percent of current sales.arrow_forwardSales revenue (1000 units) $20,000 Fixed costs $29,000 Contribution margin ration 60%, what is the variable cost per unit?arrow_forwardAssume the following information: Amount Per Unit Sales $ 300,000 $ 40 Variable expenses 120,000 16 Contribution margin 180,000 $ 24 Fixed expenses 60,000 Net operating income $ 120,000 If the company decides to pay a sales commission of 2.5% for each unit sold above the break-even point, what net operating income will it earn if it sells 4,600 units? Multiple Choice $50,800 $45,800 $50,400 $48,300arrow_forward
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