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In: Accounting

Awanita Enterprises sells computer flash drives for $1.75 per unit. The unit variable cost is $0.07....

Awanita Enterprises sells computer flash drives for $1.75 per unit. The unit variable cost is $0.07. The breakeven point in units is 3,600, and the expected sales in units are 4,600. What is the margin of safety in dollars?

A. $6,300

B. $70

C. $1,680

D. $1750

Colossal Beverages Company sells two products, A and B. Mist predicts that it will sell 2,500 units of A and 2,000 units of B during the next period. The unit contribution margins are $4.00 and $5.00 for products A and B, respectively. What is the weighted−average unit contribution margin? (Round your answer to the nearest cent.)

A. $4.56

B. $9.00

C. $4.44

D. $4.50

Emeka Company has provided the following information:

Sales price per unit	$42
Variable cost per unit	16
Fixed costs per month	$18,000

Calculate the contribution margin per unit.

a. $58

b. $42

c. $16

d. $26

Tentacle Television Antenna Company provided the following manufacturing costs for the month of June.

Direct labor cost	$132,000
Direct materials cost	84,000
Equipment depreciation (straight−line)	23,000
Factory insurance	11,000
Factory manager's salary	11,200
Janitor's salary	5,000
Packaging costs	19,000
Property taxes	16,000

From the above information, calculate Tentacle's total fixed costs.

a. 43,200

b. $66,200

c. $61,200

d. $301,200

Expert Solution

ekkarill92 answered 2 years ago

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