Question: Sales (4,000 units) $120,000 Less variable expenses (68,000) Contribution margin 52,000 Less fixed expenses (40,000) Net income $12,000 Required: A. Contribution margin per unit is

 Sales (4,000 units) $120,000 Less variable expenses (68,000) Contribution margin 52,000

Sales (4,000 units) $120,000 Less variable expenses (68,000) Contribution margin 52,000 Less fixed expenses (40,000) Net income $12,000 Required: A. Contribution margin per unit is B. If sales are doubled to $240,000, total variable costs will equal C. If sales are doubled to $240,000, total fixed costs will equal D. If 10 more units are sold, profits will increase by E. Compute how many units must be sold to break-even. F. Compute how many units must be sold to achieve profits of $20,000. # Q2 New

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