acct245_3-13b

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