Sandy Bank, Incorporated, makes one model of wooden canoe. And, the information for it follows:
Number of canoes produced and sold
Total costs
Variable costs $ $ $
Fixed costs $ $ $
Total costs $ $ $
Cost per unit
Variable cost per unit $ $ $
Fixed cost per unit
Total cost per unit $ $ $
Sandy Bank sells its canoes for $ each.
Required:
Suppose that Sandy Bank raises its selling price to $ per canoe. Calculate its new breakeven point in units and in sales dollars.
If Sandy Bank sells canoes, compute its margin of safety in dollars and as a percentage of sales. Use the new sales price of $
Calculate the number of canoes that Sandy Bank must sell at $ each to generate $ profit.
