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Selling Price Per Unit    17 Revelant Range 65,000 -120,000 units Cost of Manufacturing Variable Cost...

Selling Price Per Unit    17
Revelant Range 65,000 -120,000 units

Cost of Manufacturing

Variable Cost 9.00
Fixed Cost 450,000

Selling and Admin

Variable Cost Per Unit 1.25
Fixed 50,000

What is the break even in sales dollars.
What is the level of sales necessary to generate a profit of 54,000.

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Answer #1

Contribution Margin Ratio = (Selling Price - Variable Cost)/Selling Price = ($17-$9-$1.25)/$17 = 39.71% Breakeven Point in Sa

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