Zeta Corp's most recent income statement is given below. Sales (8,000 units) Less variable expenses Contribution margin Less fixed expenses $160,000 (68.000) 92,000 (50,000) $ 42,000 Net income Required: a. Contribution margin % per unit is b. If sales are doubled to $240,000, total variable costs will equal c. If sales are doubled to $240,000, total fixed costs will equal d. If 20 more units are sold, profits will increase to

Zeta Corp's most recent income statement is given below. Sales (8,000 units) Less variable expenses Contribution margin Less fixed expenses $160,000 (68.000) 92,000 (50,000) $ 42,000 Net income Required: a. Contribution margin % per unit is b. If sales are doubled to $240,000, total variable costs will equal c. If sales are doubled to $240,000, total fixed costs will equal d. If 20 more units are sold, profits will increase to

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter11: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 11.16E

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