Nova Tech Systems Inc. has the following data: Item Value Variable Costs per unit $22 Fixed Costs Break-even Revenue $900,000 $2,250,000 Contribution Margin % 40% Determine the selling price per unit for Nova Tech Systems Inc.

Nova Tech Systems Inc. has the following data: Item Value Variable Costs per unit $22 Fixed Costs Break-even Revenue $900,000 $2,250,000 Contribution Margin % 40% Determine the selling price per unit for Nova Tech Systems Inc.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter7: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 46E: Lotts Company produces and sells one product. The selling price is 10, and the unit variable cost is...

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Question

Can you guide me through solving this financial accounting problem using proper techniques?

Nova Tech Systems Inc. has the following data:
Item
Value
Variable Costs per unit $22
Fixed Costs
Break-even Revenue
$900,000
$2,250,000
Contribution Margin % 40%
Determine the selling price per unit for Nova Tech
Systems Inc.

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