Last month McAlister Company had a $60,000 loss on sales of $300,000. Fixed costs are $120,000 a
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Question:
Last month McAlister Company had a $60,000 loss on sales of $300,000. Fixed costs are $120,000 a month. Answer the following questions:
a. What was the contribution margin percentage?
b. What monthly sales volume (in dollars) would be needed to break-even?
c. What sales volume (in dollars) would be needed to earn $150,000?
Expert Answer:
a The contribution margin percentage can be calculated using the formula Contribution Margin Percent... View the full answer
Related Book For 
Managerial Economics Foundations of Business Analysis and Strategy
ISBN: 978-0078021718
11th edition
Authors: Christopher Thomas, S. Charles Maurice
Posted Date:
