(1) Determine the contribution margin ratio. per unit Contribution margin Contribution Margin Ratio Numerator: Denominator: Contribution Margin Ratio %3D Contribution margin ratio (2) Determine the break-even point in dollars. Numerator: Denominator: Break-Even Point in Dollars %3D Break-even point in dollars

(1) Determine the contribution margin ratio. per unit Contribution margin Contribution Margin Ratio Numerator: Denominator: Contribution Margin Ratio %3D Contribution margin ratio (2) Determine the break-even point in dollars. Numerator: Denominator: Break-Even Point in Dollars %3D Break-even point in dollars

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Viva sells its waterproof phone case for $118 per unit. Fixed costs total $232,000, and variable costs are $53 per unit.
(1) Determine the contribution margin ratio.
per unit
Contribution margin
Contribution Margin Ratio
Numerator:
Denominator:
Contribution Margin Ratio
Contribution margin ratio
%3D
(2) Determine the break-even point in dollars.
Numerator:
Denominator:
Break-Even Point in Dollars
Break-even point in dollars
%3D

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