Hermosa, Inc., produces one model of mountain bike. Partialinformation for the company follows:
| | | | | | | |
| Number of bikes produced and sold | | 490 | | 830 | | 980 |
| Total costs | | | | | | |
| Variable costs | $ | 119,560 | $ | ? | $ | ? |
| Fixed costs per year | | ? | | ? | | ? |
| Total costs | | ? | | ? | | ? |
| Cost per unit | | | | | | |
| Variable cost per unit | | ? | | ? | | ? |
| Fixed cost per unit | | ? | | ? | | ? |
| Total cost per unit | | ? | $ | 518.75 | | ? |
|
Required:
1. Complete the table. (Roundyour "Cost per Unit" answers to 2 decimalplaces.)
2. Calculate Hermosa’s contribution margin ratioand its total contribution margin at each sales level indicated inthe table assuming the company sells each bike for $660.(Round your percentage answers to 2 decimal places. (i.e..1234 should be entered as 12.34%.))
4. Calculate Hermosa’s break-even point in unitsand sales revenue. (Round your answers to the nearest wholenumber.)
