QUESTION 5 Units Sales Variable Costs: Total 20,000 $400,000 Amount per unit $20 Direct Materials $80,000 $4 Direct Labor $60,000 $3 Variable Manufacturing Overhead $20,000 $1 Shipping $20,000 $1 Total Variable Costs: $180,000 $9 $220,000 $11 Contribution Margin: Fixed Costs: Fixed Manufacturing Overhead Advertising Total Fixed Costs Net Operating Income (Loss) Based on the table above, what is the breakeven in units? 15,000 11,000 36,363.64 5,000 20,000 $40,000 $15,000 $55,000 $165,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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QUESTION 5
Units
Sales
Variable Costs:
Total
20,000
$400,000
Amount per unit
$20
Direct Materials
$80,000
$4
Direct Labor
$60,000
$3
Variable Manufacturing Overhead
$20,000
$1
Shipping
$20,000
$1
Total Variable Costs:
$180,000
$9
$220,000
$11
Contribution Margin:
Fixed Costs:
Fixed Manufacturing Overhead
Advertising
Total Fixed Costs
Net Operating Income (Loss)
Based on the table above, what is the breakeven in units?
15,000
11,000
36,363.64
5,000
20,000
$40,000
$15,000
$55,000
$165,000
Transcribed Image Text:QUESTION 5 Units Sales Variable Costs: Total 20,000 $400,000 Amount per unit $20 Direct Materials $80,000 $4 Direct Labor $60,000 $3 Variable Manufacturing Overhead $20,000 $1 Shipping $20,000 $1 Total Variable Costs: $180,000 $9 $220,000 $11 Contribution Margin: Fixed Costs: Fixed Manufacturing Overhead Advertising Total Fixed Costs Net Operating Income (Loss) Based on the table above, what is the breakeven in units? 15,000 11,000 36,363.64 5,000 20,000 $40,000 $15,000 $55,000 $165,000
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