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Prima Step Co. produces sports socks. The company has fixed costs of $75,000 and variable...

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Question

Accounting

Prima Step Co. produces sports socks. The company has fixed costs of $75,000 and variable costs of $0.75 per package. Each package sells for $1.50.
Requirements
Compute the contribution margin per package and the contribution margin ratio. (Round your answers to two decimal places.)
Find the breakeven point in units and in dollars, using the contribution margin approach.
Requirement 1. Compute the contribution margin per package and the contribution margin ratio.
-,CM per unit
-,=|
,=CM ratio
,=,%
Requirement 2. Find the breakeven point in units and in dollars, using the contribution margin approach.
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