Computing contribution margin, breakeven point, and units to achieve operating income Consider the following facts:
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A |
B |
C |
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Number of units |
1,300 |
3,600 |
7,500 |
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Sale price per unit |
$ 100 |
$ 40 |
$ 125 |
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Variable costs per unit |
40 |
10 |
100 |
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Total fixed costs |
72,000 |
60,000 |
40,000 |
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Target operating income |
180,000 |
75,000 |
100,000 |
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Calculate: |
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Contribution margin per unit |
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Contribution margin ratio |
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Breakeven points in units |
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Breakeven point in sales dollars |
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Units to achieve target operating income |
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Requirement
1. Compute the missing information.