The managerial accountant at Boone Furriers reported the following contribution margin statement information:

Use the data listed above to compute the following:
A.Compute the sales in units.
B.Compute the breakeven point in sales revenue.

Question

The managerial accountant at Boone Furriers reported the following contribution margin statement information:

Use the data listed above to compute the following:
A.Compute the sales in units.
B.Compute the breakeven point in sales revenue.

Quizplus · Accepted Answer

C)
Sales per unit: = $850 - $205 = $645;$340,000 / $645 = 527.13 ~ 528 units
Breakeven point: Fixed Expenses = 528 units × $850 = $448,800 is the breakeven point in sales revenue

The Managerial Accountant at Boone Furriers Reported the Following Contribution