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Protest Industries produces only one product. The following revenues and cost have been estimated for the forthcoming month:
Selling price, $ 117 per unit (SP)
Variable cost, $ 78 per unit (VC)
Fixed Cost, $ 78,000
The managers of the firm wish to know the following:
1. Calculate contribution margin per unit
2. Calculate contribution margin ratio.
3. BEP in units and Dollars
4. Calculate margin of safety if actual sales are 6,000 units
5. Prepare a Break-even chart using above information
6. Calculate how many units must be sold to get a profit of $156,000.
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