Acct245_3-13b - =($81,000 $27,000 18 = 6,000 units c The new contribution margin per unit = $22-$7 = $15(Fixed cost Desired profit Contribution

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ACCT 245 Bronstein Exercise 3-13b a. Contribution margin per unit = $25 - $7 = $19 Break-even point in units = $81,000 ÷ 19 = 4500 Break-even point in dollars = $25 x 4500 = $   112500 b. (Fixed cost + Desired profit) ÷ Contribution margin per unit
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Unformatted text preview: = ($81,000 + $27,000) ÷ 18 = 6,000 units c. The new contribution margin per unit = $22 -$7 = $15 (Fixed cost + Desired profit) ÷ Contribution margin per unit = ($81,000 + $27,000) ÷ 15 = 7200 units...
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This note was uploaded on 07/06/2009 for the course MGMT 303 taught by Professor Scott during the Spring '08 term at Agnes Scott College.

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