If the selling price per unit is $75,total fixed expenses are $90,000,and the breakeven sales in dollars is $360,000,what will the variable expense per unit be?

Question

Quizplus · Accepted Answer

A)
Contribution Margin = Fixed Expense/ Breakeven
= $90,000 / 360,000
= .25
Sales $75.
× Contribution Margin % = .25
Contribution Margin $ $18.75
Sales $75.
Less Contribution Margin 18.75
Variable Expense 56.25

If the Selling Price Per Unit Is $75,total Fixed Expenses