Comments on: I can not figure this out, please help? http://www.programmecollector.com/i-can-not-figure-this-out-please-help/ Sun, 26 Dec 2010 09:31:55 +0000 hourly 1 http://wordpress.org/?v=3.0.5 By: Blue Sky http://www.programmecollector.com/i-can-not-figure-this-out-please-help/#comment-318 Blue Sky Sat, 19 Jan 2008 04:57:36 +0000 http://www.programmecollector.com/i-can-not-figure-this-out-please-help/#comment-318 What's there to figure out - The answer is given - a) What is the fixed costs? Total $1,333,000 b) What is the variable costs per unit? Total $21.00 c) What is the contribution margin? 100 - 21 = $79 d) What is the break-even point for this product? How many sets does SC TC have to sell before it can start turning a profit? 1333000/79 = 16874 units e) How would increasing the sale price to $125 dollars affect the break-even point? 1333000/104 = 12818 units What’s there to figure out – The answer is given -

a) What is the fixed costs?
Total $1,333,000

b) What is the variable costs per unit?
Total $21.00

c) What is the contribution margin?
100 – 21 = $79

d) What is the break-even point for this product?
How many sets does SC TC have to sell before it can start turning a profit?
1333000/79 = 16874 units

e) How would increasing the sale price to $125 dollars affect the break-even point?
1333000/104 = 12818 units

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