A company sells watches for $1,500. The unit variable cost is $500. Fixed manufacturing costs tota $50,000 and fixed selling and administrative costs totals $25,500. Calculate the CM per watch Calculate the B/E in unit and dollars per watch Calculate the MOS in units and dollars if the company sold 115 watch Calculate the number of watches the company must sell to earn a profit of $90,000 Draw graph showing clearly the SP, VC, FC, B/E. MOS

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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A company sells watches for $1,500. The unit variable cost is $500. Fixed manufacturing costs tota $50,000 and fixed selling and administrative costs totals $25,500. Calculate the CM per watch Calculate the B/E in unit and dollars per watch Calculate the MOS in units and dollars if the company sold 115 watch Calculate the number of watches the company must sell to earn a profit of $90,000 Draw graph showing clearly the SP, VC, FC, B/E. MOS  

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