Asked by Jenifer Lalnunkimi on Apr 30, 2024

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Determine the missing amounts.  Unit Selling Price  Unit Variable  Unit Contribution  Contribution  Costs  Margin  Margin Ratio  1. $300$165 A.  B.  2. $600 C. $150 D.  3.  E.  F. $44040%\begin{array}{ccccc}&\text { Unit Selling Price } & \text { Unit Variable } & \text { Unit Contribution } & \text { Contribution } \\&& \text { Costs } & \text { Margin } & \text { Margin Ratio }\\\hline \text { 1. } & \$ 300 & \$ 165 & \text { A. } & \text { B. } \\\text { 2. } & \$ 600 & \text { C. } & \$ 150 & \text { D. } \\\text { 3. } & \text { E. } & \text { F. } & \$ 440 & 40 \%\end{array} 1.  2.  3.  Unit Selling Price $300$600 E.  Unit Variable  Costs $165 C.  F.  Unit Contribution  Margin  A. $150$440 Contribution  Margin Ratio  B.  D. 40%

Unit Selling Price

The price at which a single unit of a product is sold to customers, not including any additional fees or taxes.

Variable Costs

Expenditures that fluctuate in alignment with production levels or sales figures.

Contribution Margin

The amount remaining from sales revenue after variable costs have been deducted, indicating how much revenue is contributing to fixed costs and profit.

  • Comprehend and examine the impact of cost variations on the break-even point.
  • Determine and explicate the significance of contribution margin, gaining an understanding of its importance in CVP analysis.
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ZK
Zybrea KnightMay 05, 2024
Final Answer :
A. $300 - $165 = $135
B. $135 ÷ $300 = 45%
C. $600 - $150 = $450
D. $150 ÷ $600 = 25%
E. $440 ÷ 40% = $1100
F. If 40% = CM ratio then 60% = variable cost percentage; $1100 × 60% = $660
Or $1100 - $440 = $660