Compute the contribution margin ratio and the dollar sales


The following information relates to the only product sold by Harper Company:

  • Sales price per unit $ 24
  • Variable cost per unit 18
  • Fixed costs per year 253,000

a. Compute the contribution margin ratio and the dollar sales volume required to break even. (Omit the "$" sign in your response)
Break-even sales volume $

b. Assuming that the company sells 75,000 units during the current year, compute the margin of safety sales volume (dollars). (Omit the "$" sign in your response)

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: Compute the contribution margin ratio and the dollar sales
Reference No:- TGS0708016

Expected delivery within 24 Hours