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Healthy Spring Water Break Even Analysis
Baseline Assumptions
Sales Price = $20 / unit
Base Sales of 2,000 units @ $20 / unit = $40,000
Fixed costs are $20,000, $10.00 / unit
Variable costs = $16,000 , $8.00 / unit
1)What is Contribution Margin for Healthy Spring Water?
(answer in both dollars and as a percentage)
Answer & Explanation
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