Big Foot produces sports socks. The company has fixed expenses of $85,000 and variable expenses...
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Accounting
Big Foot produces sports socks. The company has fixed expenses of $85,000 and variable expenses of $1.20 per package. Each package sells for $2.00. Read the requirements. Compute the contribution margin ratio. (Enter the ratio as a whole percent.) Begin by identifying the formula to compute the contribution margin ratio. Contribution margin per unit Sales price per unit = Contribution margin ratio The contribution margin ratio is %. Requirement 2. Find the breakeven point in units and dollars. Begin by identifying the formula to compute the breakeven sales in units using the contribution margin approach
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