Question: Hot Locks Company developed the following information for its hair dryer sales: Sales price

Hot Locks Company developed the following information for its hair dryer sales:

Sales price $ 125.00 per unit
Variable manufacturing cost $ 44.75 per unit
Variable selling expense $ 11.50 per unit
Fixed selling expense $ 10,000
Fixed administrative expense $ 12,000

For the month ended December 31, 2020, Hot Locks Company produced and sold 400 hair dryers.

Required:

a) Calculate the break-even point in units.
b) Calculate break-even point in dollars (round to the nearest dollar
c) What is the contribution margin at the break-even point?

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