Question

INPUT:
	Product A	Product B
Selling price per unit	$            83.00	$             46.00
Variable cost of goods sold per unit	$            53.00	$             20.00
Variable selling & administrative expenses per unit	$              3.00	$               1.00
Total Fixed cost of goods sold	$            56.00	$             21.00
Total Fixed Selling & administrative expenses	$ 100,000.00	$     90,000.00

CHECK AND HELPED NEEDED WITH OUTPUT...

I DID THE YELLOW AND WANT IT CHECKED AND NEED HELP WITH PURPLE

OUTPUT:	Product A	Product B
Contribution margin per unit	$            27.00	$             25.00
Contribution margin percentage	32.53%	54.35%
Break even point in units	3704	3600
Break even point in sales dollars	$ 307,407.41	$   165,600.00
Number of units to be sold to earn profit of $50,000
The profit if the company sold 20,000 units	$ 440,000.00	$   410,000.00

Answer 1

The answer has been presneted in the supporting sheet. For detailed answer refer to the supporting sheet.

Answer OUTPUT Product A Product B Contribution margin per unit 27 (83-53-3) (46-20-1) Contribution Margin Percentage 32.53% 54.35% (27/83*100) |(25/46*100) Break even point in units 3704 3600 (100000/27) (90000/25) Break even point in sales dollar 307407.41 165600 (3704*27) (3600*25) Number of units to be sold to earn 5556 5600 ((100000+50000)/27) (90000+50000)/25) The Profit if the company sold 2000 440000 410000 |(127*20000)-100000) (25*20000)-90000) Formula Contribution margin = sale price-variable cost Contribution margin percentage = contribution amrgin / sales*100 Break even point = fixed cost/ contribution margin Break even dollar sales = break even unit * sale price Number of units to be sold to earn desired profit = (fixed cost + desired profit)/contribution margin Net profit = contribution margin for desired units - fixed cost