Question - A cement manufacturer has supplied the following data.
Tons of cement produced and sold
|
220,000
|
Sales revenue
|
$924,000
|
Variable manufacturing expense
|
$297,000
|
Fixed manufacturing expense
|
$280,000
|
Variable selling and admin expense
|
$165,000
|
Fixed selling and admin expense
|
$82,000
|
Calculate the unit contribution margin.
Calculate the break-even point in units
Calculate the break-even point in dollars.
If the company desires a net operating income of $500,000, how many units must it sell? What will the revenue be?