Monique Inque. manufactures Unique, a patented rainbow coat of many colours. Monique has a patent pending for the rain-repellant exterior shell. They anticipate its approval in the near future. Last year variable costs were $50 per coat and customers paid $250 per coat. Last year, Monique sold 5,500 coats. Complete the table below. Sales Variable costs Contribution margin Fixed costs Net operating income Total CVP and BEP 200,000 1. Determine the CONTRIBUTION MARGIN / UNIT. 2. Determine the CONTRIBUTION MARGIN RATIO.
Monique Inque. manufactures Unique, a patented rainbow coat of many colours. Monique has a patent pending for the rain-repellant exterior shell. They anticipate its approval in the near future. Last year variable costs were $50 per coat and customers paid $250 per coat. Last year, Monique sold 5,500 coats. Complete the table below. Sales Variable costs Contribution margin Fixed costs Net operating income Total CVP and BEP 200,000 1. Determine the CONTRIBUTION MARGIN / UNIT. 2. Determine the CONTRIBUTION MARGIN RATIO.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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