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# Break even calculations and financial ratios

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1) If the sales price per unit is \$100, the unit variable cost is \$75 and total fixed cost are \$150,000 then the break even volume in dollar sales is?

2) Company produce dolls. Each doll sells for \$20.00. Variable cost is per unit total is \$14.00 of which is direct material and \$5.25 is for direct labor. If total fixed cost are \$435,00 then the break even volume in dollars is?

3) Company sells desks at \$480 per desk. The cost associated with each desk are as follows. Direct material \$195
Direct labor 126
Total fixed cost for the period are \$456,840 . The contribution margin per desk is?

#### Solution Preview

Dear student,
Solution is provided in a separate excel file attached.It contains following parts.

1 Break Even Volume in dollars:

Break even sales volume \$600,000

2 Break Even Volume for Dolls in dollars:

Break even sales volume \$1,450,000

3 Calculation of ...

#### Solution Summary

This solution helps with questions involving break even calculations.

\$2.19