Information concerning
Information concerning a product produced by Ender Company appears here:
Sales price per unit | $ | 200 |
Variable cost per unit | $ | 80 |
Total annual fixed manufacturing and operating costs | $ | 600,000 |
Required
Determine the following:
a. Contribution margin per unit.
b. Number of units that Ender must sell to break even.
c.. Sales level in units that Ender must reach to earn a profit of $240,000.
d. Determine the margin of safety in units, sales dollars, and as a percentage. (Round “”Percentage”” answer to 1 decimal place. (i.e., .234 should be entered as 23.4).)
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