Question: Firebird Mfg. Co. has a contribution margin ratio of 45 percent and must sell 25,000 units at a price of $80 each in order to

Firebird Mfg. Co. has a contribution margin ratio of 45 percent and must sell 25,000 units at a price of $80 each in order to break even.

a. Compute total fixed costs.

b. Compute variable cost per unit.

c. Develop the company’s cost formula.


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