In: Accounting
Zumpano inc. produces and sells a single product. The selling price of the product is $170.00 per unit and its variable cost is $73.10 per unit. The fixed expenses is $125,001 per month
The break-even in monthly dollar sales is closest to:
break-even in monthly dollar sales is closest to $219,300 | |
Selling Price | 170 |
Variable cost | 73.1 |
Contribution | 96.90 |
Fixed Expenses | 1,25,001 |
Contribution Margin % (96.90/170 *100) | 57 |
So Breakeven = Fixed Cost / Contribution margin % | |
' 125,001 /57% | |
219300 |