Advanced Electronics manufactures DVDs and sells them directly to retailers who typically sell them for $17. Retailers take a 41% margin based on the retail selling price. Advance's cost information is as follows: DVD package and disc Royalties Advertising and promotion Overhead Calculate the following: Contribution per unit $2.50/DVD $2.25/DVD $500,000 $200,000 Calculate:

a. Break-even volume in DVD units and dollars

b. Volume in DVD units and dollar sales necessary if Advanced Electronics profit goal is $300,000

c. Net profit if 5 million DVDs are sold

Answer rating: 100% (QA)

Selling price per unit Retail selling price 1 45 15 1 45 825 Variable cost ... View the full answer