Chapter 21, Problem P21.49APGA

Calculating cost-volume-profit elements

The budgets of four companies yield the following information:

Company

	Up	Down	Left	Right
	$ 2,187,500	$ (d)	$ 375,000	$ (i)
Sales Costs	(a)	77,000	225.000	374,400
Vairable Costs Field Costs	(b)	216,000	236,000	(k)
Operating income (Loss)	256,700	(e)	(g)	85,400
Units Sold	125,000	14.000	(h)	(i)
Contribution Margin per Unit	$ 3.50	$ (f)	$ 75.00	$ 18.00
Zrrtntwwyi Margin Ratio	( c )	80%	(i)	20%

Requirements

1. Fill in the blanks for each missing value. (Round the contribution margin per unit to the nearest cent.)
2. Which company has the lowest breakeven point in sales dollars?
3. What causes the low breakeven point?