Essay
Holly Inc.sells a single product for $40.Variable costs include $22 for each unit plus a 10% sales commission.Fixed costs are $105,000 per month.
a.What is the contribution margin percentage?
b.What is the breakeven sales revenue?
c.What sales revenue is needed to achieve a $140,000 per month profit?
Correct Answer:
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a.35% = ($40 - $22 - 10% × $40)/$40.00
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Correct Answer:
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b...
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