Assume the following (1) sales = $200,000, (2) unit sales = 10,000, (3) the contribution margin ratio = 41%, and (4) net operating income = $10,000. Given these four assumptions, which of the following is true? Multiple Choice The total fixed expenses = $118,000 ○ The variable expense per unit = $8.20 ○ The total contribution margin = $82,000

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter7: Variable Costing For Management analysis
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Assume the following (1) sales = $200,000, (2) unit sales = 10,000, (3) the contribution margin ratio=41%, and (4) net operating income = $10,000. Given these four
assumptions, which of the following is true?
Multiple Choice
О
The total fixed expenses = $118,000
о
The variable expense per unit = $8.20
о
The total contribution margin = $82,000
о
The break-even point is 7,222 units
Transcribed Image Text:Assume the following (1) sales = $200,000, (2) unit sales = 10,000, (3) the contribution margin ratio=41%, and (4) net operating income = $10,000. Given these four assumptions, which of the following is true? Multiple Choice О The total fixed expenses = $118,000 о The variable expense per unit = $8.20 о The total contribution margin = $82,000 о The break-even point is 7,222 units
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