Question

Cost-Volume-Profit Relations: Missing Data
Following are data from 4 separate companies. Supply the missing data in each independent case

	Case A	Case B	Case C	Case D
Unit Sales	1,000	800	Answer	Answer
Sales revenue	$20,000	$Answer	$Answer	$60,000
Variable cost per unit	$10	$2	$14	$Answer
Contribution margin	$Answer	$800	$Answer	$Answer
Fixed Costs	$8,300	$Answer	$100,000	$Answer
Net income	$Answer	$600	$Answer	$Answer
Unit contribution margin	$Answer	$Answer	$Answer	$12
Break-even point (units)	Answer	Answer	4,000	2,000
Margin of safety (units)	Answer	Answer	200	1,000

Answer 1

	Case A	Case B	Case C	Case D
Unit Sales	1,000	800	4200	3000 (2000+1000)
Sales revenue	$20,000	$2400 (800*$3)	$163800 (4200*$39)	$60,000
Variable cost per unit	$10	$2	$14	$8 ($20-$12)
Contribution margin	$10,000 (1000*$10)	$800	$1,05,000 (4200*$25)	$36000 (3000*$12)
Fixed Costs	$8,300	$200 ($800-$600)	$100,000	$12000 ($36000-24000)
Net income	$1700 ($10000-$8300)	$600	$5000	$24000 (2000*$12)
Unit contribution margin	$10 ($20-$10)	$1 ($800/800)	$25 ($100000/4000)	$12
Break-even point (units)	170 ($1700/$10)	600 ($600/$1)	4,000	2,000
Margin of safety (units)	830 (1000-170)	200 (800-600)	200	1,000