Homework Answers
| Break-even analysis | |||||
| Contribution Margin Per Unit = Sales price - variable cost per unit | |||||
| = $11-1.6 | |||||
| = $9.4 per unit | |||||
| Break-even Point In-Units = Fixed Cost/ Contribution Margin Per Unit | |||||
| = $55858/9.4 | |||||
| =5942units | |||||
| Profit Analysis | |||||
| Cost for 9642 units = (9642*12.4)+48053 | |||||
| =$167614 | |||||
| Revenue for 9642 units = 9642 units *$18.38 | |||||
| =$177220 | |||||
| Profit = $177220-167614 | |||||
| =$9606 | |||||
| Production analysis | |||||
| Production for $258 profit | |||||
| $258 = ($17.39X) -(12.7X+48086) | |||||
| 258=4.69X-48086 | |||||
| X =47828/4.69 | |||||
| X = 10308units | |||||
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