Sunn Company manufactures a single product that sells for $180 per unit and whose variable...
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Accounting
Sunn Company manufactures a single product that sells for $180 per unit and whose variable costs are $135 per unit. The company's annual fixed costs are $562,500. (a) Compute the company's contribution margin per unit. ution margin mpany's contribution margin ratio. Numerator: 7 Add: Denominator: Contribution Margin Ratio Contribution margin ratio Less: 1 (c) Compute the company's break-even point in units. Numerator: 1 Denominator: Break-Even Units 1 Break-even units (d) Compute the company's break-even point in dollars of sales. Numerator: Denominator: = Break-Even Dollars Break-even dollars (a) Compute the company's contribution margin per unit. (b) Comput Sales per unit ratio. Variable cost per unit Denominator: = Contribution margin per unit = (c) Compute the company's break-even point in units
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