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1000 units 91 per unit change in total contribution

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1,000 units × $91 per unitChange in total contribution margin and in net operating incomeBecause fixedexpenses are notaffected by thischange, the changein net operatingincome will beequal to the changein total contributionmargin.16)Selling price per unitVariable expense per unitContribution margin per unit and contribution margin ratioDollar sales to breakeven = Fixedexpenses ÷Contribution marginratio = $153,216 ÷0.56 = $273,600Version 1185
17)Selling price per unitVariable expense per unitContribution margin per unit and contribution margin ratioUnit sales to break even = Fixed expenses ÷Unit contribution margin = $372,960 ÷ $168per unit = 2,220 unitsDollar sales to breakeven = Fixed expenses ÷ Contribution marginratio = $372,960 ÷ 0.70 = $532,80018)Selling price per unitVariable expense per unitContribution margin per unit and contribution margin ratioUnit sales to break even = Fixed expenses ÷Unit contribution margin = $138,720 ÷ $86.70per unit = 1,600 unitsDollar sales to breakeven = Fixed expenses ÷ Contribution marginratio = $138,720 ÷ 0.51 = $272,00019)Selling price per unitVariable expense per unitContribution margin per unitUnit sales to break even = Fixed expenses ÷Unit contribution margin= $670,480 ÷ $136per unit = 4,930 unitsVersion 1186
20)Selling price per unitVariable expense per unitContribution margin per unitUnit sales to break even = Fixed expenses ÷Unit contribution margin= $223,587 ÷ $81.90per unit = 2,730 units21)Selling price per unitVariable expense per unitContribution margin per unit and contribution margin ratioDollar sales to breakeven = Fixedexpenses ÷Contribution marginratio = $249,480 ÷0.77 = $324,00022)Selling price per unitVariable expense per unitContribution margin per unit and contribution margin ratioa.Unit sales to attain target profit = (Targetprofit + Fixed expenses) ÷ Unit contributionmargin= ($518,650 + $12,650) ÷ $126.50 perunit = 4,200 unitsb.Dollar sales to attain targetprofit = (Target profit + Fixed expenses) ÷Contribution margin ratio= ($518,650 +$63,250) ÷ 0.55 = $1,058,00023) Dollar sales to attain target profit = (Targetprofit + FixedVersion 1187
expenses) ÷ Contribution margin ratio=($585,000 + $11,250) ÷ 0.75 = $795,00024)Selling price per unitVariable expense per unitContribution margin per unit and contribution margin ratioa.Unit sales to attain target profit = (Targetprofit + Fixed expenses) ÷ Unit contributionmargin= ($381,300 + $9,300) ÷ $93.00 perunit = 4,200 unitsb. Dollar sales to attaintarget profit = (Target profit + Fixed expenses)÷ Contribution margin ratio= ($381,300 +$18,600) ÷ 0.62 = $645,00025) Dollar sales to attain target profit = (Targetprofit + Fixed expenses) ÷ Contributionmargin ratio= ($561,600 + $34,560) ÷ 0.54 =$1,104,00026)Selling price per unitVariable expense per unitContribution margin per unitUnit sales to attain target profit = (Targetprofit + Fixed expenses) ÷ Unit contributionmargin= ($594,000 + $19,800) ÷ $99.00 perunit = 6,200 units27)Selling price per unitVariable expense per unitVersion 1188
Contribution margin per unitUnit sales to attain target profit = (Targetprofit + Fixed expenses) ÷ Unit contributionmargin= ($483,480 + $56,880) ÷ $142.20 perunit = 3,800 units28)Sales (at the current volume of 35,600 units) (a)Break-even sales (at 29,192 units)Margin of safety (in dollars) (b)Margin of safety percentage, (b29)Sales (at the current volume of 37,300 units) (a)Break-even sales (at 26,483 units)Margin of safety (in dollars) (b)Margin of safety percentage, (b30)Sales (at the current volume of 36,900 units) (a)Break-even sales (at 32,103 units)Margin of safety (in dollars) (b)Margin of safety percentage, (b) ÷ (a)31) a.Degree of operating leverage =Contribution margin ÷ Net operating income=$269,500 ÷ $27,800 = 9.69b.Percent increasein net operating income = Percent increase in

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