Question: Net income 600,000 Compute: Contribution margin per unit 600 Break even in units Units sold 2000 Break even in dollars Variable costs 400,000 Contribution margin

 Net income 600,000 Compute: Contribution margin per unit 600 Break even

Net income 600,000 Compute: Contribution margin per unit 600 Break even in units Units sold 2000 Break even in dollars Variable costs 400,000 Contribution margin ratio 60% Compute: Selling price per unit 2,000 Break even in units Units sold 2,000 Break even in dollars Fixed costs 240,000 Contribution margin ratio 20% Compute: Selling price per unit 50 Break even in units Units sold 2,000 Break even in dollars Fixed costs 40,000 Fixed costs 100,000 Compute: Selling price per unit 100 Required sales in units to earn desired net income Variable costs per unit 20 Required sales in $$ to earn desired net income Desired net income 50,000

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