Basic CVP Relationships
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The spreadsheet is attached. I need to find the value of the ?s. I am using the following equation to fill in the blanks:
Sales Revenue - Variable Expenses = Total Contribution Margin
Total Contribution Margin - Fixed Expenses = Net Profit
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Solution Summary
This solution provides calculations in Excel for total contribution margin and net profit.
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Please find the answers attached.
Sales Revenue Variable Expenses Total Contribution Margin Fixed Expenses Net Income Break-Even Sales Revenue
160000 $40,000 $120,000 $30,000 $90,000 $40,000
$80,000 $65,000 $15,000 15000 0 $80,000
$120,000 $40,000 $80,000 $30,000 $50,000 45000
$110,000 $22,000 $88,000 ...
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