Stealth Software Inc. has the following information available from last year for one of its software products:
Sales revenue
$30,000
Variable costs
4,950
Fixed costs
4,000
Net income
$21,050
If the software had a sales price of $30 per unit, what is the variable cost per unit?
Answer
a. $164.00
b. $0.20
c. $4.95
d. $25.05
Question 50
Refer to the Stealth Software Inc. information above. If the software had a sales price of $30 per unit, what is the contribution margin per unit?
Answer
a. $34.95
b. $21.05
c. $25.05
d. can not be determined
2 points
Question 51
Refer to the Stealth Software Inc. information above. If the sales price per unit is $30 and the company expects a 30% increase in sales volume this year along with a 20% decrease in fixed costs. What will be expected net income this year?
Answer
a. $30,850
b. $41, 065
c. $23,155
d. $29,365