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Sales = Variable expense + Fixed Expense +Profits = 26Q = 18Q + $56,000 + 8,000. 8Q = 64,000, Q = 8,000 units, CM ratio = $8/$26.00 = 0.31, Variable Expense Ratio = 18.00/26.00 = 0.69. Find - What would happen if the sales would increase by 50 units, meaning become 8500 units? Find- Sales decrease by 50 units, became 7950 units? Find- Sales are 7,000 units?
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