Data concerning Wang Corporation's single product appear below: The break-even in monthly dollar sales is closest to:

Name: Data concerning Wang Corporation's single product appear below: The break-even in monthly dollar sales is closest to:
Brand: Quizplus
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Question

Data concerning Wang Corporation's single product appear below:  The break-even in monthly dollar sales is closest to:

Quizplus · Accepted Answer

CM ratio = Unit contribution margin ÷ Unit selling price
= ($150.00 per unit - $49.50 per unit)÷ $150.00 per unit
= $100.50 per unit ÷ $150.00 per unit = 0.67
Dollar sales to break even = Fixed expenses ÷ CM ratio
= $138,690 ÷ 0.67
= $207,000

Data Concerning Wang Corporation's Single Product Appear Below: the Break-Even