Solution-Contribution margin of the product

Contribution margin of the product

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Reference no: EM13503580

1 Ann Page Co. ... fixed costs $30,000 per year. Variable costs per unit are $17. Sales price per unit is $30.

a) What is the contribution margin of the product?

b) Calculate the breakeven point in unit sales and dollars.
Breakeven in dollars = $69,240.00

c) What is the operating profit (loss) at:
i) 1,500 units per year?

ii) 3,600 units per year?

d) Plot a breakeven chart using the foregoing figures.

2 Mrs. Jones owns 100 shares of stock in Daimler-Benz valued at 16.5 Euros per share. What is the value in $U.S. of her stock if:
a) 0.90 € = $1
Value of 1,650.00 Euros at 0.90 € = $1 is $1,833.33
b) 0.70 € = $1
c) 1.20 € = $1

3 John is planning on purchasing his German dream car for 65,000 Euros

How much does he need in $U.S. if there are 0.98 Euros to the $U.S.?

Reference no: EM13503580

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Contribution margin of the product

Reference no: EM13503580

Reference no: EM13503580

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