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Problem 5-6A (Video) (Part Level Submission) Sunland Corporation has collected the following information after its first year(a) Your answer is correct. Compute (1) the contribution margin for the current year and the projected year, and (2) the fixe(b) Compute the break-even point in units and sales dollars for the current year. Break-even point in units units Break-even

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Dear Student, Thanks for Using Chegg, Please find below the answer and give a thumbs up.


The following is the calculation of Break even point in units and Break even point in Dollars:

Calculation of Break Even Sales
Contribution Ratio (400000/1600000)*100 25.00%
Fixed Cost 456400
Break even point in dollar sales (a) 1825600
(Fixed Cost / Contribution Ratio)
Selling Price Per Unit (1600000/100000) (b) 16
Break even point in Units ( a / b ) 114100
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