the answer is d) $256,000
Contribution Margin = (selling price per unit - variable cost per unit) * no. of units sold
= (14 - 6) * 32,000
= 256,000
Martin Company currently produces and sells 32,000 units of product at a selling price of $14....
Martin Company currently produces and sells 36,000 units of product at a selling price of $14. The product has variable costs of $8 per unit and fixed costs of $46,000. The company currently earns a total contribution margin of Multiple Choice 000 00000 0 000'9 oo0890
Martin Company currently produces and sells 41,000 units of product at a selling price of $15. The product has variable costs of $8 per unit and fixed costs of $51,000. The company currently earns a total contribution margin of: Multiple Choice $357,000 $459,000 $287,000 $408,000
Martin company currently produces and sells 40000 units of product at a selling price of $12 the product has a variable cost of $6 per unit and the fixed cost of 150000 the company currently earns a total contribution margin of contribution margin =(sales -variable cost) $12-$6=$6×40,000 units =$240,000
Help Save at Submit Martin Company currently produces and sells 47,000 units of product at a selling price of $13. The product has variable costs of $7 per unit and fixed costs of $57,000. The company currently earns a total contribution margin of Multiple Choice o O sasspoo o О зароо o О ѕ282, ooo o ѕ99,роо < Prex of 10 Next >
Newman Company currently produces and sells 7,000 units of a product that has a contribution margin of $9 per unit. The company sells the product for a sales price of $23 per unit. Fixed costs are $20,000. The company is considering investing in new technology that would decrease the variable cost per unit to $11 per unit and double total fixed costs. The company expects the new technology to increase production and sales to 12,000 units of product. What sales...
QUESTION 12 Bootfall Company currently produces and sells 4,000 units of a product that has a contribution margin of $5 per unit. The company sells the product for a sales price of $20 per unit. Fixed costs are $20,000. The company has recently invested in new technology and expects the variable cost per unit to fall to $12 per unit. The investment is expected to increase fixed costs by $15,000. After the new investment is made, how many units must...
Munoz Company currently produces and sells 7,400 units annually of a product that has a variable cost of $15 per unit and annual fixed costs of $247,200. The company currently earns a $71,000 annual profit. Assume that Munoz has the opportunity to invest in new labor-saving production equipment that will enable the company to reduce variable costs to $13 per unit. The investment would cause fixed costs to increase by $10,900 because of additional depreciation cost. Required Use the equation...
Campbell Company currently produces and sells 8,000 units annually of a product that has a variable cost of $14 per unit and annual fixed costs of $293,000. The company currently earns a $83,000 annual profit. Assume that Campbell has the opportunity to invest in new labor-saving production equipment that will enable the company to reduce variable costs to $12 per unit. The investment would cause fixed costs to increase by $9,900 because of additional depreciation cost. Required a. Use the...
Kuzio Corporation produces and sells a single product. Data concerning that product appear below: Selling price Variable expenses Contribution margin Per Unit $ 150 75 $ 75 Percent of Sales 100% 50% 50% The company is currently selling 6,500 units per month. Fixed expenses are $206,000 per month The marketing manager believes that a $6,300 increase in the monthly advertising budget would result in a 100 unit increase in monthly sales. What should be the overall effect on the company's...
Kuzlo Corporation produces and sells a single product. Data concerning that product appear below: Selling price Variable expenses Contribution margin Per Unit $150 60 $ 90 Percent of Sales 100% 40% 608 The company is currently selling 7,000 units per month. Fixed expenses are $209,000 per month. The marketing manager believes that a $7100 increase in the monthly advertising budget would result in a 190 unit increase in monthly sales. What should be the overall effect on the company's monthly...