Question

Harmony Company sells a product for $50 per unit. Variable costs
per unit are $30, and monthly fixed costs are $ 150,000.

C. Assume they achieve the level of sales required in part
what is the margin of safety in sales dollars?

Break Even Point in Units: 7500

Level of sales from part b: $12500

Answer #1

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Contribution Margin Income Statement (at Break-Even)
Amount
Percentage
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%
Sales
Variable costs
Contribution margin
Fixed costs
$
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BLANCHARD COMPANY
Contribution Margin Income Statement (at Break-Even)
Amount
Percentage
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Sales
Variable costs
Contribution margin
Fixed costs
Net income
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Variable costs
Contribution margin
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Net income
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