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UESTION 4 In 2019, Pamela Harrigan Enterprises widgets has a selling price per unit of...

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Accounting

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UESTION 4 In 2019, Pamela Harrigan Enterprises widgets has a selling price per unit of $90, the variable costs per unit were 560, and the total fixed costs were $1,215,000. Management expects per unit data and total fixed costs to be the same in 2020. Management has set a goal of earning profit of $600,000 in 2020. Instructions: Answer cach of the following questions. Round each dollar amount to the nearest cents. Round each percentage to the nearest 100th or two decima places. Round up on the number of units. 1. What is the contribution margin per unit? 2. What is the contribution margin percentage? 3. What is the breakeven in sales dollars? 4. How many units will be sold in 2020 if there will be a profit of $600,000? 5. If Steve Jones Co. reaches its target sales in 2020, what is the margin of safety? 6. If Steve Jones Co. reaches its target sales in 2020, what is the margin of safety percentage? 7. Compute a new break-even point in units if the unit sales price is increased 20%, unit variable cost is increased by 10%, and total fixed costs are increased by $236,100

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