Question

Contribution Margin: Unit Amounts Consider the following information on four independent companies. A B C D...

  1. Contribution Margin: Unit Amounts

    Consider the following information on four independent companies.

    A B C D
    Sales $10,000 $? $? $9,000
    Less: Variable costs 8,000 11,700 9,750 ?
       Contribution margin $2,000 $7,800 $? $?
    Less: Fixed costs ? 4,500 ? 900
       Operating income $1,000 $? $8,000 $2,850
    Units sold ? 1,300 300 500
    Price/Unit $4 $? $? $?
    Variable cost/Unit $? $9 $? $?
    Contribution margin/Unit $? $6 $? $?
    Contribution margin ratio ? ? 75% ?
    Break-even in units ? ? ? ?

    Required:

    Calculate the correct amount for each question mark. Be sure to round any fractional break-even units up to the next whole number. Round variable unit cost and contribution margin per unit to the nearest cent. Round contribution margin ratio to four decimal places. (Express as a decimal-based amount rather than a whole percent.)

          A       B       C       D
    Sales $10,000 $ $ $9,000
    Less: Variable costs 8,000 11,700 9,750
        Contribution margin $ 2,000 $ 7,800 $ $
    Less: Fixed costs 4,500 900
        Operating income $ 1,000 $ $8,000 $2,850
    Units sold 1,300 300 500
    Price/Unit $4 $ $ $
    Variable cost/Unit $ $9 $ $
    Contribution margin/Unit $ $6 $ $
    Contribution margin ratio 0.7500
    Break-Even in units

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Answer #1

for any clarifications plz comment.

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