Question

Amy own a lemonade stand. The unit of production is 30,000 units, Sale units =2,000, selling...

Amy own a lemonade stand. The unit of production is 30,000 units, Sale units =2,000, selling price=$60 per unit, Variable Cost: $50 per unit, Selling and Administrative cost = $40 per unit, fixed cost= $ 150,000

  1. Cost per unit—variable costs per unit only, and fixed costs with an assumed level of production.
  2. Sales price per unit
  3. Selling and Administrative costs-- variable costs per unit only, and fixed costs with the same assumed level of production that was used in #1.
  4. Breakeven point in units and in dollars.
  5. CVP income statement using an assumed level of sales that does not exceed the assumed level of production used in #1.

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Answer #1

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