Croftsman Company recorded the following information for its main product $390 Selling price per unit Costs per
Question:
Croftsman Company recorded the following information for its main product $390 Selling price per unit Costs per unit (39,000 units produced and sold) Direct material Direct labour Variable overhead Fixed overhead Sales Commission 25 20 7.5% of sales Required: 1. Compute the contribution margin ratio and break-even sales Contribution margin ratio Breakeven sales 2. What is the margin of safety in dollars and units, and the degree of operating leverage? (Round "Degree of operating leverage" to 2 decimal places and the rest to the nearest whole number.) Dollars Units Margin of safety 2 What is the margin of safety in dollars and units, and the degree of operating leverage? (Round "Degree of operating leverage" to 2 decimal places and the rest to the nearest whole number.) al e " on Margin of safety Dollars Units Degree of operating leverage
Fundamental accounting principle
ISBN: 978-0078025587
21st edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta