Roland had revenues of $606,000 in March. Fixed costs in March were $197,210 and profit was $51,250. a. What was the contribution margin percentage? Contribution Margin % b. What monthly sales volume (in dollars) would be needed to break-even? Break-even Sales Volume c. What sales volume (in dollars) would be needed to earn $163,590? Total Sales Volume

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 36P: Faldo Company produces a single product. The projected income statement for the coming year, based...
Question

25.

Roland had revenues of $606,000 in March. Fixed costs in March were $197,210 and profit was $51,250.
a. What was the contribution margin percentage?
Contribution Margin
%
b. What monthly sales volume (in dollars) would be needed to break-even?
Break-even Sales Volume
c. What sales volume (in dollars) would be needed to earn $163,590?
Total Sales Volume
Transcribed Image Text:Roland had revenues of $606,000 in March. Fixed costs in March were $197,210 and profit was $51,250. a. What was the contribution margin percentage? Contribution Margin % b. What monthly sales volume (in dollars) would be needed to break-even? Break-even Sales Volume c. What sales volume (in dollars) would be needed to earn $163,590? Total Sales Volume
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps

Blurred answer
Knowledge Booster
Market Efficiency
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College