Sandhill Company reports the following operating results for the month of April.

SANDHILL COMPANY CVP Income Statement For the Month Ended April 30, 2022
		Total		Per Unit
Sales (10,800 units)		$561,600		$52.00
Variable costs		302,400		28.00
Contribution margin		259,200		$24.00
Fixed costs		180,000
Operating income		$79,200

Management is considering the following course of action to increase operating income: Reduce the selling price by 10%, with no changes to unit variable costs or fixed costs. Management is confident that this change will increase unit sales by 30%.

Using the contribution margin technique, calculate the break-even point in units and dollars and margin of safety in dollars.

Answer rating: 100% (QA)

Break Even point Fiaed cost in uui ts Contribution mrgin porunit Contri bulion mcorg... View the full answer