Question

HOW2 Online teacher X + stignment/tessignment MindowokertassignmentSession octorament i progresse Calculator Units Sold to Break Even, Unit Variable Cost, Unit Manufacturing Cost Units to Earn Target Income Werner Company produces and sells disposable for baking pans to retailers for $2.75 per pan. The variable cost s Direct materials $0.24 Direct labor 0.60 Variable factory overhead 0.63 Variable selling expense 0.14 Fixed manufacturing cost totals $183,285 per year Administrative c alled to $24.903. Required: 1. Compute the number of pans that must be sold for Werner to break even 2. Conceptual Connection: What is the unit Variable cost? What is the un i te a cturing cost Round you to the cont Unit variable cost Unit variable manufacturing cost which is used in cost volume profit analysis Ho of $10.716 y Dans must be for Werner to an operating

Answer 1

Direct materials	0.24
Direct labor	0.60
Variable factory overhead	0.63
Variable selling expense	0.14
Unit variable cost	1.61
1
Total fixed costs	208278	=183285+24993
Divide by Unit Contribution margin	1.14	=2.75-1.61
Break even pans	182700	pans
2
Unit variable cost	1.61
Unit variable manufacturing cost	1.47	=1.61-0.14
Unit variable cost is used in cost volume profit analysis.
3
Total fixed costs	208278	=183285+24993
Add: Required net income	10716
Required Contribution margin	218994
Divide by Unit Contribution margin	1.14	=2.75-1.61
Pans to be sold	192100	pans