Wilson Wood Coup, sells its products for $80 per unit. It has costs as follows: Rent...

Question

Question

business finance

Answer 1

Answer #1

rate positively ..

Break even point =	Fixed cost/contribution margin %


Fixed cost =
Rent	101000
Executive salary	130000
Total fixed cost	231000


Computation of contribution margin %
Sales=	80
Less: Factory labor	13
Less: Raw material	4
Contribution margin	63
Contribution margin % 63/80	78.75%


Break evenpoint =231000/78.75%		293333

Ans =		293333

Answer 2

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