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Bivouac Camping Supply Sells Harsh Weather Tents

Question 178

Essay

Bivouac Camping Supply sells harsh weather tents.The company has the following income statement. Bivouac Camping Supply sells harsh weather tents.The company has the following income statement.   Required:  a.What is the contribution margin per unit? b.What is the contribution margin ratio? c.What is the breakeven point in units? In sales dollars? d.What is the margin of safety in units? In dollars? Required:
a.What is the contribution margin per unit?
b.What is the contribution margin ratio?
c.What is the breakeven point in units? In sales dollars?
d.What is the margin of safety in units? In dollars?

Correct Answer:

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a.$1,000 - ($475 + $5 + $20) = $500
b.$5...

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