Question

In: Accounting

Match the following. 1.Direct labor, direct materials, and manufacturing overhead. a. Gross margin 2.Costs that are...

Match the following.

1.Direct labor, direct materials, and manufacturing overhead. a. Gross margin
2.Costs that are expensed in the period they are incurred. b.Controllable costs
3.Sales less variable expenses. c. Manufacturing margin
4.Cost a manager can determine or greatly affect the amount. d. Absorption costing
5.A costing method that includes only variable manufacturing costs. e. Period costs
6.An income statement format that focuses on cost behavior. f. Contribution margin
7.Sales less cost of goods sold. g. Variable costing
8.A costing method that includes all manufacturing costs. h. Product costs
9.Fixed costs divided by contribution margin per unit. i. Contribution format
10.Sales less variable production costs. j. Break-even in units

Assume a company sells a given product for $33.28 per unit. How many units must the company sell to break-even if variable selling costs are $1.40 per unit, variable production costs are $23.56 per unit, and total fixed costs are $2,080,000?

Solutions

Expert Solution

Breaeven sales in units = 2,50,000

Explanation of Break Even Units


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