Find the break-even point in sales dollars

Reference no: EM13903360

Break-even and target profits; volume defined in sales dollars. The manager of Wong's Food Express estimates operating costs for the year will total $300,000 for fixed costs.

a. Find the break-even point in sales dollars with a contribution margin ratio of 40 percent.

b. Find the break-even point in sales dollars with a contribution margin ratio of 25 percent.

c. Find the sales dollars required with a contribution margin ratio of 40 percent to generate a profit of $100,000.

Reference no: EM13903360

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