Question

Franscioso Company sells several products. Information of average revenue and costs is as follows:

               Selling price per unit                        $28.50

               Variable costs per unit:

                      Direct material                               $5.25

                      Direct manufacturing labour     $1.15

                      Manufacturing overhead            $0.25

                      Selling costs                                    $1.85

               Annual fixed costs                        $110,000

The Franscioso Company contribution margin ratio is  1.102:1.1.425:1.0.298:1.0.637:1.0.702:1. .

The Franscioso Company break-even in sales dollars is  $99,819.$77,193.$369,128.$172,684.$156,695. .

The Franscioso Company break-even in units is  5,500 units.3,502 units.2,709 units.6,059 units.12,952 units. .

Answer 1

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Franscioso
Answer 1
Particulars	Per Unit	Note
Sell Price	28.50	A
Less- Variable costs
Direct Materials	5.25
Direct Labor	1.15
Variable manufacturing overhead	0.25
Variable selling expenses	1.85
Total Variable costs	8.50	B
Contribution margin	20.00	C=A-B
Contribution margin ratio	0.702	D=C/A
So contribution margin ratio is 0.702:1
Answer 2	Amount $
Total Fixed costs	110,000.00	E
Breakeven sales $	156,695.00	F=E/D
So Breakeven sales is $ 156,695.
Answer 3
Breakeven units	5,500.00	G=E/C
So Breakeven units is 5,500.