A firm expects to sell 25,000 units of its product at $11 per unit.Net income before tax is predicted

to be $60,000.If the variable costs per unit are $6 per unit, total fixed costs must be:

  

 

Mar Co. has fixed costs of $36,000 and a contribution rate of 24%. If predicted sales are $200,000,

what is the margin of safety as a percent of sales?

 

Marnan Company has fixed costs of $56,000.Its product sells for $25 per unit and variable costs amount to $15 per unit.Next year Marnan Company wishes to earn a before-tax net income that

equals 10% of fixed costs. How many units must be sold to achieve this income level?

 

Answer rating: 100% (QA)

1 Given Predicted sales quantity 25000 units Selling price per unit 11 Net income before tax 60000 and Variable costs per unit 6 First lets calculate ... View the full answer