Units Sold to Break Even, Unit Variable Cost, Unit Manufacturing Cost, Units to Earn Target Income

Werner Company produces and sells disposable foil baking pans to retailers for $$2\mathrm{.}70$ per pan. The varlable cost per pan is as follows:

Direct materials

$$0\mathrm{.}24$

Direct labor

$0\mathrm{.}60$

Variable factory overhead

$0\mathrm{.}66$

Variable selling expense

$0\mathrm{.}16$

Fixed manufacturing cost totals $$238,867$ per year. Administrative cost $($all fixed$)$ totals $$32,573.$

Required:

Compute the number of pans that must be sold for Werner to break even. pans

Conceptual Connection: What is the unit variable cost? What is the unit variable manufacturing cost? Round your answers to the nearest cent.

Unit variable cost

Unit variable manufacturing cost

$

Which is used in cost$-$volume$-$profit analysis?

$3.$ How many pans must be sold for Werner to earn operating income of $$8,944?$ pans

$4.$ How much sales revenue must Werner have to earn operating income of $$8,944?$