A 16000 b 5500 c 12000 d 9200 e none of the above 11

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Unformatted text preview: , approximately how much in sales dollars does Walnut need to break even? a $2,400 b $18,667 c $28,800 d $12,000 e $11,000 10 How much net income will Walnut earn if the sales price is $14 per unit and 4,000 units are produced and sold? a $16,000 b $5,500 c $12,000 d $9,200 e None of the above 11 How many units does Walnut need to sell if the sales price is $10 and the company wants net income of $1 per unit? a 3,000 b 5,000 c 4,250 d 6,000 e None of the above 12 If Walnut can lower its variable cost to $6 per unit, what sales price does the company need to charge to break even when it sells 4,000 units? a $10 b $9.25 c $9.33 d $9 e None of the above Use the following information to answer questions 13 through 14: Woodlawn, Inc. had the following contribution margin income statement for the year: Sales Variable expenses Contribution margin Fixed expenses Net income $90,000 ($27,000) $63,000 ($40,000) $23,000 13 Assume this contribution margin income statement was the result of Woodlawn having sold 15,000 units. Approximately how many...
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This note was uploaded on 12/15/2013 for the course BUS-A 100 taught by Professor Tiller during the Fall '08 term at Indiana.

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