Reference no: EM132453979
Problem - UMB Company's income statement for the most recent year appears below.
Sales (50,000 units) $2,500,000
Less: variable expenses 1,050,000
Contribution margin 1,450,000
Less: fixed expenses 650,000
Net operating income $800,000
Required -
Calculate the unit contribution margin.
Calculate the break-even point in dollars.
If the company desires a net operating income of $350,000, how many units must it sell?